Transgrid Enerco Acquires 60% Stake in Eko Electricity Distribution Co. in Nigeria for N360 Billion
Transgrid Enerco Ltd. has acquired a 60% stake in Eko Electricity Distribution Co. for N360 billion ($250 million), marking a significant development in Nigeria's electricity sector. The acquisition, finalized on December 30, includes plans to enhance distribution capacity to approximately 1,500 megawatts, addressing existing limitations. Olubunmi Peters, chair of Transgrid Enerco, aims to improve electricity delivery in Lagos and Ogun states.
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Transgrid Enerco Ltd. has acquired a 60% stake in Eko Electricity Distribution Co. for N360 billion ($250 million), significantly impacting Nigeria's electricity sector. The acquisition, finalized on December 30, involved N180 billion in cash and bank guarantees, ahead of a capital gains tax due to take effect on January 1, 2026.
The consortium includes North South Power, Axxela, and the Stanbic IBTC Infrastructure Growth Fund. Plans are underway to increase distribution capacity to approximately 1,500 megawatts, addressing current limitations in the sector.
Olubunmi Peters, chair of Transgrid Enerco and executive vice chairman of North South Power, aims to improve electricity delivery in the Lagos area and Ogun state. His background includes leadership roles in road maintenance and civil engineering, and he has prior experience with the 600 megawatt Shiroro hydropower plant.
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