Billionaire Femi Otedola, the former second-largest shareholder of Transcorp Plc, has reportedly sold his entire stake in the company to Tony Elumelu, the current chairman and largest shareholder. The deal, which was brokered by mutual friends of the two tycoons, reportedly involved Elumelu paying Otedola a 400-percent premium on the closing price of Transcorp's shares on Thursday.
Otedola owned 2.6 billion shares or 6.3% of the company at the time of the deal, suggesting that his payout was close to $70 million. The development marks the end of an intriguing corporate drama between the two billionaires that had sent shock waves throughout Nigeria's capital market.
Neither Transcorp nor Calvadas Global, Otedola's investment vehicle, have confirmed the news as of yet. Earlier this month, Otedola had acquired a 5.52% stake in Transcorp, which led to a 128% boost in its stock price over the past two weeks, suggesting the likelihood of a bidding war for control of the conglomerate.
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