NIGERIA (Commonwealth Union) – There appears to be a shift in focus for the banks in Nigeria as they are now looking into getting to more shares in the power industry. This has been a long time coming as the power industry in becoming a fast-growing component in today’s world.
There have also been the promises made that power is the future investment. It seems that all these new updates are making the banks want to somewhat get a piece of whatever cake the power industry is hoping to cut. The Geregu Power Plc in Nigeria has already started looking into banks they may want to tie up with in terms of share acquisition. The currents bank they are having serious talk and discussions with is the Africa export and Import bank (Afreximbank).
The power generating company that they have their eyes on for the acquisition of shares is Genco. This company is known throughout Africa for being one of the better powers generating companies as it has been around for much longer. However, these are not new talks coming about. There have been discussion happening for a few weeks now the first ever discussion about this being held in the beginning of October 2022.
The company that wants to do the acquisition which is Geregu Power stated that they are valued at N307 Billion as of today in the Nigerian stock exchange. This is a very impressive number but since power is a well wanted commodity the high number comes as no surprise.
If this acquisition were to go smoothly which is what all parties included in the deal is hoping for, the current stock of both companies will of course rise giving them better earning power. This would help the company in further acquisitions.
