AMCON SELLS IBADAN ELECTRICITY DISTRIBUTION COMPANY FOR N100 BILLION AMID LEGAL DISPUTES
GREATRIBUNETVNEWS–THE Asset Management Company of Nigeria (AMCON) has confirmed the sale of the Ibadan Electricity Distribution Company (IBEDC) to a preferred bidder for N100 billion. According to AMCON’s Managing Director and CEO, Gbenga Alake, the company will soon hand over IBEDC to the new owner.
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Key Details of the Sale:
– Sale Price: N100 billion, almost double the initial offer rejected by AMCON
– Preferred Bidder:Not disclosed, but will take over IBEDC soon
– Legal Disputes: Ongoing lawsuits challenge the sale, with claims of secretive and illegal transactions
– Previous Valuation:A civil society group alleges the stake was sold far below its actual value, citing a 2013 valuation of $169 million
Reactions and Implications:
– AMCON’s Confidence:Despite ongoing legal battles, AMCON remains confident in the sale’s legitimacy
– Concerns Over Transparency:*Critics argue the deal lacks transparency and may facilitate corrupt enrichment
– Potential Impact:The sale may affect electricity supply to over 30 million people in Oyo, Ogun, Osun, Kwara, and parts of Kogi, Ekiti, and Niger states
He said:“Today, I announce to you that Ibadan DisCo has been sold. When we came in, it has already been sold. It was sold for how much?” the AMCON boss said.
“We got in and said no, it cannot be. We said they should go and submit a new offer that we were not going to sell for that.
“At the end of the day, we got almost double of what Ibadan DisCos was going to be sold for.”
Alake expressed that AMCON did the best thing, though the sale of the power firm is still lingering in court.
