Transcorp Power Lists SharesValued at N1.8tn on NGX, Targets N500bn Annual Revenue by 2031
The Power subsidiary of the Transnational Corporation Plc, Transcorp Power Plc, yesterday listed by way of introduction 7,500,000,000 ordinary shares of 50 kobo each at N240.00 per share on the mainboard of the Nigerian Exchange Limited (NGX).
The listing represents N1.8 trillion by market capitalisation of shares on the floor of the NGX.
The power generating company was the second most traded stock on the exchange on the day, trading 40 million volume and N10.56 billion by market value to close to N264.00 per share.
The Chairman of Heirs Holdings, Transcorp, United Bank for Africa, Mr. Tony Elumelu joined other capital market stakeholders at the ‘'Facts Behind the Listing” and Closing Gong Ceremony of Transcorp Power ceremony on the floor of the Exchange.
Speaking at the Facts Behind the Listing event, the Managing Director, Transcorp Power, Peter Ikenga, stated that the strategic objectives of the company is to be a leading power company with an annual revenue in excess of N500 billion by 2031.
On other strategic objectives, he added that Transcorp Power will be a leading power generating company in Nigeria and generate a consistent, safe and sustainable manner and becoming the preferred choice for all stakeholders.
Part of the key pillars, according to him are: Diversified energy mix, including renewables and off-grid solutions, capacity recovery & plant expansion, increased footprint in international electricity markets, and significant market share in Nigeria.
He revealed that Transcorp Power, a generating company in Nigeria has an installed capacity of 972 megawatts.
“Our power plants are located at Ughelli in Delta State. We have 18 gas turbine units installed in the plants. Today, we're proud to say that we power 10 million homes, industries, schools, hospitals and truly made an impact on the economy in Nigeria,” he said.
He stated that Transcorp Power presents a unique opportunity in Nigeria's power generation subsector, which is pivotal to the country's economic growth.
On Transcorp Power's value proposition, he said that as a leading thermal power generating company in Nigeria with a 972MW capacity, TPP accounts for 7 per cent of Nigeria's power generation capacity, yet currently generates 10 per cent of Nigeria's power with existing assets, with capacity to contribute further.
“We have a very solid operational track record and continue to make investments to improve our operations to have a fully automated plant, digital and strong safety record as well.
“Our board and management team are very strong, stable, dynamic, visionary, and poised to truly transform the sector as opportunities continue to unfold.
“Our financial performance has been consistent, and stable. If you look at our performance over the last five years, you'll notice that we have compounded annual growth rate. We have grown revenue over 20 per cent compounded annual growth rate and we also grow profit by 40 per cent within the last five years,” he stressed.
On his part, the Group Chairman, NGX Group, Dr. Umaru Kwairanga stated that the listing of Transcorp Power makes it an historic day for capital market community as the company listed in excess of N1 trillion in market capitalisation on the main board of NGX.
According to him, the listing of Transcorp Power's 7.5 billion shares is a testament to the resilience, innovation, and excellence within Nigeria's power sector.
“It also underscores NGX's pivotal role in driving economic growth and development in our nation. We as an exchange are determined to ensure that all sectors of Nigeria's economy are fully represented on NGX and that the transparency, sustainability, ethical values, and private sector dynamism that drives the exchange drives the economy.
“With a market capitalisation exceeding N1 trillion, Transcorp Power's entry into the public market represents a significant milestone, highlighting the increasing confidence and maturity of our capital market. It is a clear signal of the transformative journey our energy sector has embarked upon, thanks to the Electric Power Sector Reform Act and subsequent market liberalisation,” he added.
He noted that the success of Transcorp Power is a testament to the visionary leadership of Elumelu, whose strategic investments have not only elevated the company but have also set a new standard for excellence in the capital market and beyond.
“His leadership serves as an inspiration to us all, showcasing the impact that visionary leadership and innovative thinking can have on an enterprise and an entire industry. I also commend the management of Transcorp Power as their dedication and commitment to operational efficiency and innovation is evident in the remarkable achievements of the organisation,” he added.
The acting Chief Executive, NGX, Mr. Jude Chiemeka said Transcorp Power's listing is meant to boast a remarkable market capitalisation by over N 1 trillion, which is a notable event, marking the first listing of the year.
He emphasised that this underscores the pivotal role the NGX plays in shaping economic landscape and highlights the exchange's significance and contribution to the Nigerian economy.
“The listing of Transcorp Power Plc (TPP) exemplifies our belief that the NGX serves as a viable platform for the privatisation of energy companies, driving efficiency, innovation, and sectoral growth,” he said.
He added that Transcorp Power has been at the forefront of power generation, leveraging its status as the largest gas-powered generating station in the nation.
“The impact of TPP extends far beyond the borders of Nigeria, shaping the energy landscape across the African continent,” Chiemeka said.