Geregu Power to list 2.5bn shares on NGX

Geregu Power Plc, electricity generation company (GenCo), is set to list on the main board of the Nigerian Exchange (NGX) Limited by introduction. 

Listing by introduction implies the company is not raising capital (through IPO) immediately.

Femi Otedola, the billionaire businessman, is the owner of Geregu Power.

Regulatory documents seen by TheCable showed that the listing would be made official in Lagos on Wednesday. 

According to the document, the company would list a total of 2.5 billion ordinary shares of 50 kobo each at N100 per share, “having satisfied all regulatory requirements for listing”.

The listing would put the company’s initial market value at N250 billion.

Based on the development, Geregu Power will make history as the first generating company to be listed on the NGX. 

Temi Popoola, chief executive officer (CEO), NGX, described the proposed listing as a great feat for the company and the exchange.

“We are pleased to inform you that Geregu Power Plc will be admitted on the Main Board of NGX by way of Listing by Introduction on October 05, 2022,” Popoola said.

“Once again, we congratulate the board, management, and staff of Geregu Power Plc for this great feat. We look forward to hosting you at the Exchange ON October 25th or 26th, 202, for a closing gong ceremony to commemorate the listing.

“The Exchange will continue to maintain its commitment to delivering a regulated, transparent and efficient market whilst providing issuers visibility and access to a diversified investor pool.”

The power company was incorporated in November 2006 as one of the unbundled companies from the now-defunct Power Holding Company of Nigeria (PHCN).

Located in Ajaokuta, Kogi state, the company is wholly-owned and operated by Amperion Power Distribution Company Limited (APDCL). 

In 2013, Amperion Power, a subsidiary of Forte Oil Plc, now Ardova Plc, acquired the Geregu power plant and invested $94 million in the power plant.

After another $350 million investment in the plant in 2018, Otedola said the acquisition was a sign of his commitment to the federal government’s power sector recovery plan. 

In 2019, Otedola disclosed plans to shift his focus to power generation. The company was among the 16 firms shortlisted by the Bureau of Public Enterprises (BPE) for the acquisition of five National Integrated Power Projects (NIPPs).