Otedola sells Forte Oil Plc and focuses on Geregu Power Plc

Nigerian billionaire who was the Chairman and majority shareholder in Forte Oil Plc, Mr. Femi Otedola, recently sold his entire 75% shareholding in the company. The former Chairman of Forte Oil Plc, Mr. Otedaola had earlier announced in December 2018, plans to divest his entire 75% stake. The transaction was however completed on Wednesday (19th June, 2019); as Ignite Investments and Commodities Limited, led by Prudent Energy Services Limited acquired the stakes for about ₦64 billion.

Otedola have however shifted focus to power generation; as there are speculations that he will invest about US$1 billion in Geregu Power Plant.

In line with my principle of business focus, we have divested from our marketing and upstream businesses and shall from now on focus and consolidate on the gains of our power generation business, Geregu Power Plc.

— Femi Ote$ (@realFemiOtedola) June 22, 2019

However, following the exit of Mr. Otedola, Forte Oil Plc’s Chief Executive Officer (CEO) and Chief Financial Officer CFO), Mr Akin Akinfemiwa and Mr Julius Omodayo-Owotuga also resigned. To this effect Forte Oil have appointed Mr Olumide Adeosun and Mr Moshood Olajide as the new CEO and CFO respectively.

Forte Oil Plc operates majorly in Nigeria’s downstream oil and gas sector, and according to Chairman Ignite and Chief Executive Prudent Energy Services, Mr Abdulwasiu Sowami; who is now the major stakeholder in Forte Oil Plc, acquiring Forte Oil supports their quest of continuously adding value to the Nigerian Oil and Gas industry.

He added that, Forte Oil’s next phase of growth will focus on; increasing volumes, diversifying business operations, widening distribution networks and extracting potential synergies with partners.

Recent reports also suggests that Ignite Investments and Commodities Limited, may soon launch a ₦22.3 billion mandatory tender offer (MTO); to takeover the remaining ordinary shares held by minority shareholders in Forte Oil Plc.

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