In a landmark transaction for Nigeria’s energy infrastructure, Transgrid Enerco Limited has officially concluded its acquisition of a 60% controlling interest in Eko Electricity Distribution Company (Eko DisCo). The deal, valued at approximately N360 billion, represents one of the largest privately negotiated secondary market transactions in the power sector since the 2013 privatization exercise.
The deal reached financial close on December 30, 2025, ahead of its projected April 2025 timeline. Documentation was finalized at the George Hotel, marking the exit of the outgoing controlling shareholder, West Power & Gas Limited (WPG), which originally acquired the asset for $135 million in 2013.
The deal structure utilized a hybrid payment model to ensure settlement certainty. An initial N180 billion was paid in two cash tranches, N150 billion earlier in the week and N30 billion at the close. The remaining N180 billion is secured via robust bank guarantees, providing the sellers with deferred payment assurance.
Transgrid Enerco is a powerhouse consortium comprising Stanbic IBTC Infrastructure Growth Fund (SIIF), North-South Power Company Limited (NSP), and Axxela Limited. This blend of institutional capital and technical expertise is expected to revitalize Eko DisCo’s operations across southern Lagos and parts of Ogun State. The timing of the close allowed the parties to navigate the regulatory window ahead of the new capital gains tax implementation effective January 1, 2026.
