A consortium of three companies—North-South Power Company Limited (NSP), Axxela Limited, and the Stanbic IBTC Infrastructure Growth Fund (SIIF)—has successfully acquired a 60% stake in Eko Electricity Distribution Company (Eko DisCo).
In a statement on Monday, seen by Energy in Africa, the consortium, under the name Transgrid Enerco, announced the completion of the Share Purchase Agreement (SPA).
The statement also confirmed that the transaction will be finalized by April 2025.
Recently, several reports indicated that the owner of Eko DisCo, West Power and Gas Ltd (WPG), was planning to sell the company for approximately $350 million, although the exact amount has been disputed.
North-South Power (NSP), owners of Shiroro Dam, along with two other companies, won the bid to acquire the company earlier in 2024.
This acquisition marks the largest transfer of ownership of a distribution company since the takeover of Abuja DisCo by Transcorp Power in 2023.
The change in ownership is expected to bring about a leadership transition within the electricity distribution company in the coming months.
What Transgrid Enerco is Saying
According to the press statement, Olubunmi Peters, Chairman of Transgrid Enerco, stated that the acquisition of Eko DisCo will help address Nigeria’s critical energy challenges.
He further mentioned that the acquisition positions Transgrid Enerco as a leader in driving innovation, sustainability, and community-focused solutions.
“Today marks more than a business transaction—it is a bold statement of our collective determination to address Nigeria’s critical energy challenges. This acquisition positions Transgrid Enerco as a leader in driving innovation, sustainability, and community-focused solutions.
“With the right expertise, capital, and leadership, we are committed to modernizing infrastructure, delivering reliable electricity, and fostering economic growth for all stakeholders,” Peters said.
What to Know
Eko DisCo serves the southern part of Lagos State and the Agbara community in Ogun State, both of which are crucial to Nigeria’s industrial and commercial development. The company plans to increase its capacity from 513MW to 1,500MW over the next few years.
Following the privatization of the power sector in 2013, the Power Holding Company of Nigeria (PHCN) was unbundled into 11 electricity distribution companies. These companies are managed by private stakeholders, with the government retaining a 40% stake for national interest purposes.
Transgrid Enerco has expressed its commitment to transforming Eko DisCo into a benchmark for operational excellence, reliability, and customer service in the power sector.
