Olurotimi Otedola, brother to Nigerian billionaire and business mogul Femi Otedola, has cashed in big, offloading 4 million shares of Geregu Power Plc for a hefty N4.6 billion.
The sale, disclosed in a regulatory filing with the Nigerian Exchange (NGX), was executed on Thursday through a cross deal at N1,150 per share.
A cross deal is a stock market transaction where a broker matches buy and sell orders internally, bypassing the open market. This method is often used for large transactions to prevent wild price swings that might affect the stock’s broader market value.
What makes the transaction impressive isn’t just the scale but the sheer profitability. Olurotimi Otedola acquired these shares less than two years ago, according to NGX records:
- February 2023: Bought 3.6 million shares at N219 per share and an additional 100,000 shares at N207.9, totalling N809.2 million.
- May 2023: Acquired 300,000 shares at N288.9 per share, spending N86.67 million.
- May 2023: Purchased 1,875,000 shares at N288.9 and 948,092 shares at N290.7, amounting to N903.97 million, according to Nairametrics.
In total, Otedola invested approximately about N1.8 billion in Geregu Power shares. Fast forward to 2025, and his exit strategy has netted him over N3 billion in profit, thanks to a share price surge to N1,150 per unit.
In announcing the transaction, Geregu listed Olurotimi Otedola as a majority shareholder of the firm.
His brother, Femi Otedola, holds over 78% of the company’s shares. Between October 2023 and March 2024, Mr Otedola sold N15.97 billion worth of Geregu’s shares as the company’s price rose.
Geregu boasts an installed capacity of 435 megawatts and contributes roughly 10% of Nigeria’s electricity. The company recorded a near three-fold increase in profits to N16.1 billion for 2023.
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