Billionaire businessman Femi Otedola has revealed that a £250,000 loan from his father Sir Michael Otedola, a former Lagos State governor-was the lifeline that helped scale up Zenon Petroleum, the oil trading company that cemented his place in Nigeria’s business landscape.
Otedola made the disclosure in his memoir Making It Big, where he draws parallels between the support he received from his father and the guidance he now provides to his children.
According to him, mentorship and financial backing were critical to his rise and remain central to how he nurtures the ambitions of his own protégés.
He recalled financing his daughter DJ Cuppy’s first major show, which featured Davido, with N10 million when they were just 16. The concert, however, flopped, attracting only a handful of older attendees including former Cross River State Governor Donald Duke and his wife Onari, as well as lawyer Jide Coker.
“Papa, people aren’t coming,” his daughter lamented. His response was to open the gates for free an experience he describes as a lesson in tenacity and perseverance. Today, both artistes have grown into household names.
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Davido, who has gone on to become one of Africa’s biggest music exports, boasts multiple hit singles, global tours, and awards, including a Grammy nomination in 2024. He is also one of the most streamed Afrobeats artistes globally, with a loyal fan base spanning Africa, Europe, and the United States. DJ Cuppy, meanwhile, has carved out her own niche as a DJ and producer, releasing hit singles, headlining major international events, and serving as a UN ambassador. She has also become a prominent advocate for philanthropy and youth empowerment.
The billionaire also recalled spending the summer of 2019 in Monaco with his children, where he shared “nuggets of wisdom” passed down from his father alongside lessons picked up throughout his career.
Beyond family, Otedola credits role models such as the late Wahab Folawiyo, whose pioneering business exploits he studied closely, as key influences in shaping his entrepreneurial outlook.
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In 2003, having identified an opportunity in the fuel retail market, Otedola secured the finance to set up Zenon Petroleum and Gas Ltd, a petroleum products marketing and distribution company. As owner and chairman, he moved quickly to dominate the industry.
By 2004, he had invested N15 billion in downstream infrastructure, acquiring storage depots in Apapa and Ibafon, as well as four cargo vessels with a combined total storage capacity of 147,000 metric tons.
- That same year, Zenon added a fleet of 100 DAF fuel-tanker trucks worth N1.4 billion.
- By 2005, Zenon controlled a major share of Nigeria’s diesel market, supplying fuel to some of the country’s largest manufacturers, including Dangote Group, Cadbury, Coca-Cola, Nigerian Breweries, MTN, Unilever, Nestlé, and Guinness.
- Otedola’s aggressive expansion culminated in 2007 when ten banks approved a syndicated loan of $1.5 billion to Zenon to build the largest premium motor spirit storage facility in Africa. Later that year, Zenon acquired a 28.7% stake in African Petroleum, one of Nigeria’s leading fuel marketers.
Zenon also expanded into the kerosene market, solidifying its influence in Nigeria’s energy sector. However, in 2012, the company was named in a controversial fuel subsidy scandal, where it was alleged to have owed $1.4 million to the government. The case drew public attention after a sting operation revealed a lawmaker, Farouk Lawan, demanding bribes from Otedola to clear Zenon’s name. Lawan was later charged with corruption, while Otedola maintained his innocence.
(Nairametrics)
