In a bid to solidify his ownership status, Elumelu increased his interest in the conglomerate to 25.9% or 10.5 billion shares, a move that conferred more than a fourth of the corporation’s voting rights on him as the only principal shareholder.
While stakeholders are yet to grapple with the whole market change, Otedola has gone public about a subtle beef between him and Elumelu.
In a public statement, Otedola revealed he offered ₦250 billion to acquire Transcorp Plc as he planned to take the company’s market capitalisation to ₦2 trillion but his bid was rejected.
“I offered to buy Transcorp Plc for ₦250 billion, but unfortunately, my offer was rejected. My goal was to maximise the company’s potential as a Nigerian conglomerate with a market cap of at least ₦2 trillion instead of the current ₦40 billion, but it seems some shareholders have a different vision.
“As a businessman, I believe in healthy competition and market dynamics. Two captains cannot man a ship, and I respect the majority shareholder’s decision to buy me out. This is the nature of the game,” Otedola said.
Otedola also talked about his history with Elumelu and revealed how he lost out on some juicy business deals with him in the past.
“By the following year in 2008, I went bankrupt in Nigeria. Tony proceeded to take my shares in UBA to service the interest on my loans, and he also took over my shares in Africa Finance Corporation, where I was the largest shareholder.
“Shortly after, Albert Okumagba informed me that an American firm wanted to acquire my shares in Transcorp, which I then agreed to sell. However, this supposed American firm turned out to be Tony Elumelu. The revelation of this prompted me to resign as chairman of the hotel.”
On his motivation, Otedola stated that his aim is to create value for all stakeholders.
According to him, “Stakeholders are unfortunately always shortchanged by getting stipends while the owners and managers of the business live a jet-set lifestyle, which is detrimental to the stakeholders.”