WPG sells 60% stake in EKEDC to Transgrid Enerco for N360bn

Transgrid Enerco Limited, a Nigerian consortium, has completed its acquisition of a 60 percent major stake in Eko Electricity Distribution Company (EKEDC) for N360 billion.

The consortium comprises North-South Power (NSP), owners of Shiroro Dam; Stanbic Infrastructure Fund, and Axxela, an oil and gas company..

Sources told TheCable that the transaction between West Power and Gas Limited (WPG), EKEDC parent company, and Transgrid Enerco Limited, was completed on Tuesday.

“The acquisition has been completed,” a source said.

It was learnt that Transgrid Enerco made an initial cash payment of N180 billion, while the remaining N180 billion was secured through bank guarantees.

The cash payment, according to sources, was settled in two instalments: N150 billion was paid earlier in the week of the transaction’s completion, while the final N30 billion tranche was paid on December 30.

In December 2024, Transgrid Enerco won the bid to acquire a stake in Eko Disco following a competitive process that began earlier in the year.

NSP is said to benefit from the acquisition because it gives the power generation company direct control and insight into the DisCo’s operations, allowing it to access cash flow.

Eko DisCo is one of 11 electric distribution companies established after the unbundling of the Power Holding Company of Nigeria (PHCN) in 2013, when distribution and generation sub-sectors were sold to investors.