Transcorp Power Plc, the latest addition to the main board of the Nigerian Exchange Limited (NGX), achieved a significant milestone on Tuesday as its market capitalization crossed the N2 trillion mark, driven by a surge in investor demand.
The power generating company, which was listed with a market capitalization of N1.8 trillion, closed the trading day with a market capitalization of N2.18 trillion, marking an impressive increase in value since its debut on the NGX.
Transcorp Power’s market capitalization now exceeds that of Transcorp Hotels Plc, which stands at over N1 trillion, and Transcorp Incorporated Plc, with a market capitalization of N701.99 billion, as of March 5, 2024.
In just two days of trading, Transcorp Power’s market capitalization has added N378 billion, fueled by a 21 percent surge in its stock price. The company’s stock price rose from N240 per share at listing to N290.40 per share at the close of trading on Tuesday, representing a gain of 10 percent each day.
During the listing ceremony on NGX, the Chief Executive Officer of Transcorp Power, Peter Ikenga, highlighted the company’s transformation from a government-owned asset to a leading private sector-led organization. He emphasized Transcorp Power’s pivotal role in Nigeria’s economic growth, citing its 18 gas turbines and commitment to optimal performance through maintenance and upgrading programs.
Furthermore, Evans Okpogoro, the Chief Finance Officer of Transcorp Power, highlighted the company’s impressive revenue growth over the past five years, driven by increased energy delivery and capacity charge, as well as expansion into international markets. Okpogoro noted that Transcorp Power has maintained and grown its EBITDA margins, solidifying its position as one of Nigeria’s leading power generation companies.
The successful debut and rapid increase in market capitalization demonstrate investor confidence in Transcorp Power’s prospects and its contribution to the energy sector in Nigeria. With a strong operational track record and strategic growth initiatives, Transcorp Power is poised to continue its trajectory of success in the power generation industry.