Modupe Gbadeyanka
By Modupe Gbadeyanka
The Chairman of Transcorp Plc, Mr Tony Elumelu, has played down talks that he’s threatened by the investment of his close friend, Mr Femi Otedola, in the company.
Recall that two weeks ago, it was reported that Mr Otedola had acquired a 5.52 per cent stake in Transcorp to become the largest single individual shareholder of the conglomerate. He is only behind UBA Nominees Limited with a stake of 9.26 per cent.
His acquisition of the company’s shares later triggered buying pressure on the stock, stoking speculations that the businessman, who owns Geregu Power, was planning to take over Transcorp, especially its power subsidiary.
Mr Otedola is not new to investing in companies. He invested in First Bank and spurred a leadership tussle, which attracted the attention of the Central Bank of Nigeria (CBN).
In an interview with Arise TV on Wednesday, Mr Elumelu said Mr Otedola remains his friend and “brother,” stressing that he was happy about his interest in the organisation he acquired in 2012.
“I am happy that Femi Odetola is investing locally, and he should be commended for that, and I also welcome him for that,” Mr Elumelu, who doubles as the chairman of UBA Group Plc, said in the interview monitored by Business Post.
“When friends and investing public invest in a public company like this, it is a validation and tells you they believe in your story, vision, management, leadership and competence,” said, adding that, “I like my friend (Otedola) coming on board, and I look forward to working with him to take Transcorp to greater heights.”
Mr Elumelu stated that, “About 10 years ago, before we took over Transcorp, people were not interested [in the company]. People lost confidence in the company. Today, under our leadership, Transcorp has consistently paid dividends in the last five years. There is a capital appreciation for the company.”
He emphasised that the coming of the “man I admire” to the board of Transcorp would be to the advantage of “shareholders” as the company’s stocks will become “investors’ toast.”
