Transgrid Enerco Acquires 60% Stake in Eko DisCo For N360bn

Transgrid Enerco Limited has completed the acquisition of a 60 per cent controlling stake in Eko Electricity Distribution Company (Eko DisCo) from West Power & Gas Limited (WPG) in a transaction valued at about N360 billion.
The transaction was finalised on Dec. 30, marking one of the largest privately negotiated takeovers in Nigeria’s power distribution sector since the 2013 privatisation.
Transgrid Enerco paid an initial cash sum of N180 billion, while the outstanding N180 billion is secured through bank guarantees. The cash payment was made in two tranches, with N150 billion paid earlier in the week of closure and N30 billion paid on the final day.
The deal followed a Share Purchase Agreement signed in January 2025 between Transgrid Enerco and WPG, the outgoing core investor in Eko DisCo. The parties were said to have concluded the transaction ahead of the planned implementation of a new capital gains tax regime from Jan. 1, 2026.
Final signing of the transaction documents took place at the George Hotel after several months of negotiations and due diligence.
Transgrid Enerco is a consortium of strategic and institutional investors in energy infrastructure, including Stanbic IBTC Infrastructure Growth Fund, North-South Power Company Limited and Axxela Limited.
The new owners are expected to inject additional capital into Eko DisCo and implement operational reforms aimed at improving service reliability, expanding metering and enhancing customer satisfaction.
Eko DisCo serves southern Lagos and parts of Ogun State and is regarded as one of the more commercially viable electricity distribution companies in the country due to its dense urban customer base and relatively strong revenue collection.
Industry analysts say the transaction signals renewed investor confidence in Nigeria’s power sector and could serve as a model for future, market-driven ownership changes.
Eko DisCo is one of the 11 distribution companies created following the unbundling of the Power Holding Company of Nigeria in 2013.