The oil magnate stated this in an Instagram post on Wednesday, June 19, 2019.
Otedola said he will now focus and consolidate on the gains of his power generation business, Geregu Power Plc.
“A few years ago, my team and I embarked on an arduous task of transforming a moribund petroleum marketing business, African Petroleum Plc (formerly British Petroleum) into Forte Oil Plc; a leading integrated solutions provider with solid footprints in downstream petroleum marketing, Upstream Services and Power Generation and one in which we built intrinsic value to the benefits of our shareholders.
“In line with my principle of business focus, we have divested from our marketing and upstream businesses and shall from now on focus and consolidate on the gains of our power generation business, Geregu Power Plc.
“We wish our successors the very best and urge them to build on our legacies which have been established since 1964,” the billionaire wrote on Instagram.
Otedola divesting from oil
Last December, Akinleye Olagbende, Forte Oil’s General Counsel, in a corporate filing on NSE, said Otedola will be selling his all his stakes – direct or indirect – to explore and maximise business opportunities in refining and petrochemicals.
By the billionaire’s statement, Business Insider SSA by Pulse can deduce that the transaction has satisfied various conditions and receipt of applicable regulatory approvals.
The Nigerian regulatory agencies are yet to comment on this transaction and no official filings as at the time of filing this report.
Geregu Power Plc – one of the unbundled companies from the defunct PHCN with the sole interest of electricity generation
Geregu Power Plc is a subsidiary of Amperion Power and one of Forte Oil’s assets in Nigeria. It is one of the unbundled companies from the defunct PHCN with the sole interest of electricity generation through the use of Gas Turbines.
The company started operations in 2007 with GT 13 and officially commissioned by the former President, Chief Olusegun Obasanjo in February 2008.
Last year, the Nigerian billionaire invested $350 million into the company.