Ignite Takes Over Forte Oil, Vows to Diversify Operations

By Modupe Gbadeyanka

Forte Oil Plc, a company listed on the Nigerian Stock Exchange (NSE), now has new owners after the recent divestment of the holdings of its former Chairman, Mr Femi Otedola.

A statement issued to the NSE by the local energy firm said Ignite Investments and Commodities Limited, led by Prudent Energy Services Limited, bought the 74.02 percent total shares of Forte Oil from Mr Otedola, making it the new owner.

The business mogul had confirmed this deal on Wednesday, explaining that he was offloading his stake in Forte Oil’s downstream operations to focus on power generation business.

In the notice to the stock exchange today, Ignite said it was now in control of the firm after “receiving all the necessary approvals from the Securities and Exchange Commission (SEC), the NSE and fulfilling all relevant terms and conditions attached to the Share Purchase Agreement.

Business Post gathered that parties to the sale have indicated that the Forte brand will remain in place.

Already, the process of appointing new members to board has commenced and should be ratified by the shareholders at the next general meeting of the company.

Yesterday, the firm said it has appointed Mr Olumide Adeosun to replace Mr Akin Akinfemiwa the CEO of the firm, while Mr Moshood Olajide is the new Chief Financial Officer (CFO), replacing Mr Julius Omodayo-Owotuga, who resigned like Mr Akinfemiwa.

Commenting on the transaction, outgoing Croup Chief Executive Officer of Forte Oil, Mr Akin Akinfemiwa, said, “This concludes a very painstaking process and we believe that this transaction would optimize the existing capabilities inherent in the business and its people who are the key drivers of the business, and propel the Company towards an assured future.”

Chairman of Ignite and Chief Executive of Prudent Energy Services Limited, Mr Abdulwasiu Sowami, said the investment was a of “strategic importance to support our quest of continuously adding value to the Nigerian oil and gas industry.”

According to him, “The next phase of Forte Oil’s growth will focus on increasing volumes, diversifying business operations, widening distribution networks and extracting potential synergies with partners. We look forward to working as part of the Forte Oil family to achieve this growth.”

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

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