Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • 2023 Elections
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • 2023 Elections
No Result
View All Result
Nairametrics
No Result
View All Result
Home Industries Company News

Why Transcorp is Merging TUP with Ughelli Power Plant Plc

NairametricsbyNairametrics
8 years ago
in Company News, Corporate deals
Why Transcorp is Merging TUP with Ughelli Power Plant Plc
Share on FacebookShare on TwitterShare on Linkedin
  • Transcorp Nigeria Plc has announced that it has obtained SEC approval-in-principle to merge Transcorp Ughelli Power Ltd (TUPL) and Ughelli Power Plc
  • Trasncorp Ughelli Power Ltd was set up as a Special Purpose Vehicle (SPV) used to acquire 100% equity is Ughelli Power plant which was sold by the Goodluck Jonathan Government in 2013
  • According to Transcorp, the idea is to bring the overall “management and operational efficiency of the power business of Transcorp”
  • However, analysts believe this move is basically geared towards transferring the debt of the SPV to the Operating Assets which is Ughelli Power Plc. By transferring the debts to the latter, the SPV is free of any loans and as such the power plant will now be fully used as a collateral for the loans.
  • This move also creates tax efficiencies for the company as it eliminates cases of excess multiple tax on potential dividends declared by the company to Transcorp Shareholders.
  • This is also good news for Transcorp Shareholders who will now directly own Ughelli Power plant rather than through another layer of corporate entity.
  • For the Government, the hope now is that the debt been loaded on the books of Ughelli Power Plc will not send it into prolonged losses.
  • TUPL announced in 2014 that it had increased generation capacity of Ughelli Power Plant from 342MW at December 2013, to 610MW at the end of 2014 and plans to increase it further to 850MW by the end of 2015.
  • Press Release

Related

Tags: Transcorp plc

Leave a Reply Cancel reply

Press one
hfm
Mega Millions
fidelity banner
SME
HFM
Patricia





NM newsletters

Business News | Stock Market | Money Market | Cryptos | Financial Literacy | SME |

Recent News

  • Denmark makes work permit, residency easier for foreign workers, startup founders, students
  • Chemical and Allied Products Plc reports 112% post-tax profit increase for period ended December 2022
  • Get mortgage and business loans with Polaris Select Plus account in 2 Steps

Follow us on social media:

Recent News

Denmark makes work permit, residency easier for foreign workers, startup founders, students

Denmark makes work permit, residency easier for foreign workers, startup founders, students

March 30, 2023
Chemical and Allied Products Plc reports 112% post-tax profit increase for period ended December 2022

Chemical and Allied Products Plc reports 112% post-tax profit increase for period ended December 2022

March 30, 2023
  • Download Nairametrics iOS App
  • Download Nairametrics Android App
  • Home
  • Exclusives
  • Markets
  • Industries
  • Economy
  • Business News
  • Financial Literacy
  • Opinions

© 2023 Nairametrics

No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • 2023 Elections

© 2023 Nairametrics

error: Alert: Content selection is disabled!!