AMCON Sells Ibadan DisCo For N100bn

The Asset Management Corporation of Nigeria (AMCON) has verified the disposal of the Ibadan Electricity Distribution Company (IBEDC), one of the five electricity distribution entities formerly under its oversight. Gbenga Alake, AMCON’s managing director and chief executive officer, shared this information during a discussion with senior media executives on Thursday, July 3.

Alake disclosed that the sale fetched N100 billion and noted that AMCON will soon transfer IBEDC to the selected bidder. He clarified that the initial offer for the sale was deemed too low and rejected, leading to a revised bid that nearly doubled the earlier valuation.

“Today, I announce to you that Ibadan DisCo has been sold. When we came in, it had already been sold. It was sold for how much?” Alake said. “We got in and said no, it cannot be. We said they should go and submit a new offer that we were not going to sell for that. At the end of the day, we got almost double of what Ibadan DisCo was going to be sold for.”

However, the transaction has triggered legal challenges. Alake admitted that various parties have taken the matter to court, but he maintained that AMCON is confident it adhered to proper procedures.

“We have sold it… and whatever is still happening in court, we will face it,” he stated.

Previously, the federal government had outlined plans to divest from five distribution companies managed by banks and AMCON. In addition to IBEDC, these include Abuja Electricity Distribution Company (AEDC), Benin Electricity Distribution Company, Kaduna Electricity Distribution Company, and Kano Electricity Distribution Company.

In May, the African Initiative Against Abuse of Public Trust, a civil society group, initiated legal action at the Federal High Court in Abuja against AMCON, the Nigerian Electricity Regulatory Commission (NERC), the Bureau of Public Enterprises (BPE), and IBEDC. The lawsuit, marked FHC/ABJ/CS/866/2025, claims that the proposed sale of a 60 percent stake in IBEDC for $62 million was “secretive and illegal,” and labeled the deal as “corruptly undervalued.”

The group argues that the transaction could lead to a $107 million loss for the Nigerian government compared to the $169 million valuation of the same stake during the 2013 privatisation process.

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Nnamdi Okoli