Adedapo Adesanya
By Adedapo Adesanya
The latest company to join the Nigerian Exchange (NGX) Limited, Transcorp Power Plc, has announced a revenue target of N500 billion by 2031, tapping opportunities in the capital market and sustainable energy.
This was disclosed by the Managing Director of the firm, Mr Peter Ikenga, during the Facts Behind the Listing held at bourse on Monday.
The firm, owned by businessman and Chairman of UBA Plc, Mr Tony Elumelu, listed its stocks on the Main Board of the nation’s flagship exchange by introduction. It listed 7,500,000,000 ordinary shares of 50 Kobo each at N240.00 per share.
Speaking at the event, which was graced by dignitaries, including Mr Elumelu, the MD of the company said the target was feasible as it has seen a profitable rise in revenues over the last five years.
With a current revenue of N142.1 billion as of the end of the 2023 fiscal year, Transcorp Power recorded a 154.2 per cent jump from N55.9 billion in 2019, he said during his presentation.
Mr Ikenga said, “Our target is to be the leading power company with an annual revenue in the excess of N500 billion by 2031.”
According to the MD, the drive to the N500 billion revenue will be driven by the organisation’s key pillars, including a diversified energy mix which prioritises renewables and off-grid solutions, capacity recovery and plant expansion, tapping into international electricity markets, and boosting its presence in Nigeria.
According to Mr Ikenga, 18 per cent of Transcorp Power’s revenue for 2023 came from regional trading of electricity under the West African Power Pool after the company started exporting electricity outside the country in 2020.
“This gives us the ability to stand here and deliver what we have for you,” he said.
This year, Transcorp Power is targeting a peak generation of 611 megawatts (MW) with plans to boost peak available capacity to 740MW by year-end 2024 through the recovery of GTS 8, 9, 14, 18 and 19.
With a 972MW capacity, Transcorp Power accounts for around 7 per cent of Nigeria’s power generation capacity, yet currently generates less than 10 per cent of Nigeria’s power with existing assets, with capacity to contribute further.
Transcorp Power at the end of the first day boasts a valuation of N1.98 trillion, positioning it as the second most valuable power company on the exchange, automatically qualifying it to join the stylised SWOOTs (stocks worth over one trillion Naira).
