Olurotimi Otedola, the founder of the Afrinero music band and the brother of Nigerian billionaire Femi Otedola, has sold ₦4.6 billion ($3.06 million) worth of shares in Geregu Power Plc, according to a filing with the Nigerian Stock Exchange.
The filing, signed by Geregu’s company secretary, Akinleye Olagbende, confirmed that Olurotimi, a major shareholder, sold 4 million shares at a price of ₦1,150 per share on February 6, 2025.
This sale marks a significant shift in his investment portfolio, especially considering his initial acquisition of 3.7 million shares in February 2023, which he bought at an average price of ₦213.45 per share, amounting to an investment of ₦789.8 million ($525,000). Over the past two years, his investment has appreciated by ₦3.8 billion ($2.53 million), reflecting substantial gains in Geregu’s stock value.
Geregu’s Financial Performance & Growth
Olurotimi’s share sale comes at a time when Geregu Power Plc is experiencing strong financial growth. The company’s 2024 full-year audited financial accounts showed a 69.5% increase in pre-tax profit, which rose to ₦41.2 billion ($27.39 million).
This impressive performance underscores Geregu’s ability to thrive despite the challenges of Nigeria’s power sector, as the company continues to deliver strong results in a volatile market.
Key Financial Highlights
•Post-tax profit surged by 71% to ₦27.4 billion ($18.22 million).
•Total assets increased to ₦243.7 billion ($162.05 million), highlighting its growing market value.
•Operating profit jumped by 110%, from ₦14.8 billion to ₦31.1 billion ($20.68 million).
•Revenue surged by 74%, from ₦47.6 billion to ₦83 billion ($55.18 million).
•Profit before tax increased by 61%, from ₦15.1 billion to ₦24.3 billion ($16.16 million).
Strategic Investment Move
Given Geregu Power’s impressive growth and profitability, Olurotimi Otedola’s decision to sell is seen as a strategic move, taking advantage of the company’s increasing market valuation.
Notably, Geregu Power remains the first and only power company listed on the Nigerian Exchange (NGX), further reinforcing its strong market position.
