Transcorp hits N2.97tn market cap, plans hotel expansion
Transnational Corporation Plc has recorded a market capitalisation of N2.97tn and announced plans to expand its hospitality business with a new Hilton hotel in Ikoyi, Lagos.
The President and Group Chief Executive Officer of Transcorp, Owen Omogiafo, disclosed this during an interview on Arise News on Tuesday, stating that the company’s success is driven by a long-term vision, operational efficiency, and investments across its businesses.
“This year, we are paying a full dividend of N1 per share, a significant milestone considering that, in the early years of Transcorp, dividends were not issued. Under the leadership of our Group Chairman, Tony Elumelu, we have sustained this growth, and we are committed to doing even more,” she said.
She noted that the company’s hospitality business continues to expand, with the planned Ikoyi Hilton hotel aimed at meeting the growing demand for premium hospitality services in Lagos.
Omogiafo highlighted Transcorp’s power sector growth through its subsidiaries, Transcorp Power and TransAfam Power. She stated that despite industry challenges such as gas shortages and liquidity constraints, the company has increased its power capacity through strategic investments.
“When we acquired Transcorp Power Ughelli in 2013, it produced just 160 MW. By the end of 2024, we had increased its available capacity to 625 MW out of an installed 972 MW,” she said.
“Similarly, we acquired Transafam Power in 2021 when it was generating only 35 MW. By the end of 2024, its available capacity had risen to 305 MW.”
She added that Transcorp’s partnership with Heirs Energies has helped stabilise gas supply to its power plants, ensuring consistent power generation.
However, she noted that outstanding payments from the government remain a major challenge.
“As of today, Transcorp Group is owed over N50bn for power already generated. Liquidity is crucial for sustainability. If we are to invest more and expand capacity, we need a steady and timely inflow of funds,” she said.
Omogiafo said Transcorp is implementing an integrated energy strategy that includes gas production, power generation, renewable energy, and power distribution.
“Our installed capacity is about 13,000 MW, but to meet actual needs, we must bridge the gap with renewable energy solutions. International investors are eager to partner with us on renewable energy projects because they recognise Nigeria as a prime market for energy investment,” she said.
She added that the company has invested in Abuja Electricity Distribution Company to improve power distribution efficiency.
Omogiafo reaffirmed Transcorp’s commitment to growth and economic development, stating that its investments in power, energy, and hospitality are aimed at creating long-term value.
“We are not just building businesses; we are shaping Nigeria’s economic landscape. Our investments in power, energy, and hospitality are designed to improve lives and create long-term value,” she said.
The PUNCH reported that Transnational Corporation Plc has reported a surge in profitability, posting a profit after tax of N94.08bn for the year ended December 31, 2024, marking a 189 per cent increase from N32.48bn recorded in 2023.
