Transnational Corporation PLC has moved its capitalisation from N20 billion to N4.5 trillion in 14 years.
Its Chairman, Tony Elumelu, revealed this in his speech at the company’s 2024 Annual General Meeting, which was held in Abuja on Tuesday.
Elumelu said: “The combined market capitalisation of Transcorp companies is over $3 billion – over N4.5 trillion.
“This figure excludes our transport companies, Abuja Electricity Distribution Company, and our transport energy ventures, which we expect to list in the future.”
The Eagle Online recalls that Transcorp was established in 2004 during the administration of former President Olusegun Obasanjo.
Elumelu added in his statement to the AGM: “When we took over in 2011, the company hadn’t paid dividends.
“But since then, we’ve paid dividends every year.
“We’ve just declared dividends for 2024, and we expect 2025 to be even better.
“Shareholders want us to look into sectors that align with national development goals, including agriculture, which creates jobs, and the broader energy sector.
“We’ve recently explored investment opportunities in agriculture, and we’re particularly interested in renewable energy.”
Elumelu, who spoke to the expectations of the board and management of the company vis-a-vis those of shareholders, said: “Your company indeed is growing.
“Last year, we took Transcorp Ughelli Power public and the value today is in excess of N2.7 trillion.
“When we say Transcorp is about improving lives and transforming Nigeria and Africa, it is based on the role we play in catalysing development.
“Power is critical for the development of every economy.
“Transcorp Power Ughelli has the installed capacity of 1,000 MW of electricity generation and Transafam has 1,000 MW capacity.
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“That is a combined 2,000.
“But available capacity for the two: Ughelli is 625 MW and Transafam 305 MW.
“Combined, it’s almost 1,000MW in a country where we consume less than 5,000MW.
“You can now imagine what your company is contributing to the economy.
“Despite the challenging economic climate, one of our subsidiaries, Transcorp Power, has fully repaid the $215 million loan it took in 2014 for the acquisition of Transcorp Power Ughelli.
“And at our Transcorp Hotel where you are sitting today, we have just completed the 5,000-capacity event centre.
“We believe Nigeria should be able to attract global, international, world-class events and you cannot achieve this if you do not have an event centre that can accommodate a huge number of people.
“Rwanda, Dubai and even Kenya have become hubs for events, so we want to put your country on that map, and we have succeeded in doing so and the Transcorp event centre is now open, and people are booking to use the facility.
“I want to use this opportunity to reiterate that access to electricity remains the single most critical factor in fixing the Nigerian economy especially as we seek to have the non-oil sector make greater contributions to our economy.
“We must therefore fix power to fix and transform Nigeria.
“The main dominant challenges of the power sector, namely: liquidity infrastructure, gas availability remain unresolved 12 years after some of us invested heavily in this sector.
“As at date, our Federal Government owes your company over N600 billion ($400 million).
“Much as we as patriotic Nigerian investors are committed to supporting the efforts of the Federal Government in fixing the Nigerian economy, we have been under excruciating burden of subsidising the sector as producers who do not get paid for the electricity we generate, we put on the grid, and is consumed on the grid.
“This, you will agree, is totally not sustainable.
“It requires urgent attention.
“I am aware of some of the well-intended initiatives of the federal government in the power sector.
“The efforts commenced last year by the new administration, President (Bola) Tinubu’s administration, targeted at paying the debt owed GenCos, the presidential metering initiative targeted at increasing access to meters, the separation of the independent system operations from TCN, to mention but a few.
“While the intentions behind these initiatives are very good, these intentions can only be achieved through ruthless, result-oriented and timely execution of the initiatives before this sector collapses in front of our every eye with these attendant consequences.
“Let me therefore use this opportunity of our AGM to call on all those involved in executing our President’s directives on this initiative to please prioritise this critical national task immediately.
“They should expedite action to fully pay the huge debt owed GenCos by completing the process already initiated towards the end of last year.
“The delivery of meters under PMI should be quickened.
“Our group is more committed in working with the Federal Government on this.
“Transmission infrastructure whether under the PPI or other initiatives should be addressed immediately and special incentives should be put in place to expedite investment in gas and gas infrastructure development.
“I believe that the new leadership in NNPC will help to fast track this.
“The completion of the ongoing OB3 (Obiafu-Obrikom-Oben) gas pipeline will positively impact gas to power supply as the pipeline is expected to link the Eastern gas network where there is currently acute gas supply shortage, to the western network, with relatively better gas supply availability.”
The Group Chief Executive Officer of Transcorp PLC, Dr. Owen Omogiafo, emphasised the company’s long-term vision of impacting lives and transforming the African continent.
Omogiafo said: “Our purpose is to improve lives and transform Africa.
“It’s a bold ambition, but we are focused on key sectors: Power, hospitality, and energy.”
She said despite challenges in the power sector, Transcorp has increased its available capacity and is maximising its power generation.
In hospitality, she noted that Transcorp continues to maintain and exceed international standards.
She added: “Despite inflationary pressures, we have not only maintained but surpassed global benchmarks.
“Our hotel remains one of the best-run establishments globally.”
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