Abuja, Nigeria — The Asset Management Corporation of Nigeria (AMCON) has officially confirmed the sale of the Ibadan Electricity Distribution Company (IBEDC) for ₦100 billion, marking a major step in the federal government’s ongoing power sector restructuring.
The Managing Director/CEO of AMCON, Gbenga Alake, made the disclosure during a media parley with journalists on Thursday, where he revealed that the deal had been finalised and the preferred bidder would soon take over operations of the utility firm.
Alake explained that while AMCON met a prior deal upon assuming control of IBEDC, the offer was renegotiated due to concerns over valuation.
“When we came in, it had already been sold. But we insisted the price wasn’t right. We asked them to submit a new offer,” Alake stated.
“Eventually, we secured almost double the amount initially proposed for the sale.”
Despite the successful transaction, the deal has sparked legal controversy, with multiple parties filing lawsuits, including civil society organisations questioning the legitimacy and transparency of the sale.
In May, the African Initiative Against Abuse of Public Trust, a civil society group, dragged AMCON, NERC, BPE, and IBEDC before the Federal High Court in Abuja (Suit No: FHC/ABJ/CS/866/2025), alleging the sale of a 60% stake in IBEDC for $62 million was secretive and grossly undervalued.
The group claimed that the current transaction could result in a $107 million loss when compared to the $169 million paid for the same stake during the 2013 privatisation exercise.
Alake, however, stood by the process, assuring that due diligence was conducted and that AMCON is prepared to defend the transaction in court.
“We believe we did the right thing. The sale has been completed. Any issues in court will be addressed,” he said.
The sale of IBEDC is part of a broader federal government initiative announced in April 2024 to privatise five electricity distribution companies currently under AMCON or bank control, including Abuja, Benin, Kaduna, and Kano DisCos.
This move is aimed at injecting fresh capital and expertise into Nigeria’s struggling power sector, but stakeholders continue to raise concerns about transparency, fair valuation, and regulatory oversight.
