President/Group CEO, Transcorp Plc, Owen Omogiafo. | Credit: Transnational Corporation Plc The President/Group Chief Executive Officer of Transnational Corporation Plc, Owen Omogiafo, has said the Federal Government has commenced repayment of longstanding debts owed to power generation companies, describing the move as the most significant progress yet in resolving liquidity challenges in Nigeria’s electricity sector.
Omogiafo disclosed this in an interview with journalists on the sidelines of the company’s 20th Annual General Meeting held in Abuja on Friday. “For us in Transcorp Power and Transafam, we have actually signed our settlement reconciliation contracts. For Transafam, they started the payments.
And for Transcorp Power, they will start sometime this year,” she said. She added, “So first of all, let me start by commending the Federal Government under President Bola Tinubu. This is the greatest progress we have made as it relates to dealing with the historical debt.” The development signals early implementation of the Federal Government’s intervention to clear legacy debts, finalised at about N3.3tn owed to generation companies and gas suppliers, a longstanding issue that has constrained liquidity across the Nigerian Electricity Supply Industry.
Omogiafo noted that despite persistent challenges in the sector, including gas supply constraints and transmission infrastructure gaps, the Group has continued to deliver strong performance. “It’s common knowledge about the challenges the power sector is facing.
We deal with the gas issues and the transmission infrastructure issues… but despite the challenges that we saw in the sector, we were able to produce the kind of results that we have produced,” she said. She stressed that the company remains focused on managing these constraints while leveraging opportunities within the sector.
“There will always be challenges. That’s just the reality. But it’s what you do with those challenges and how you create opportunities out of them,” she added. The Transcorp CEO also expressed optimism that recent policy actions and leadership changes in the power sector would improve investor confidence.
She further highlighted the Group’s diversified operations, noting that investments in power and hospitality continue to drive growth despite macroeconomic pressures. On shareholder returns, Omogiafo said the company has recorded a significant transformation over the years, moving from kobo-denominated dividends to stronger payouts.
“Once upon a time, Transcorp was paying two kobo… today we are paying dividends in naira. We are creating sustainable value… we can’t pay less than what we’re paying today,” she said. Financial results presented at the meeting showed that the Group recorded a 33 per cent increase in revenue to N544bn in the 2025 financial year, driven by growth in its power and hospitality businesses.
Related News Nigeria may reject World Bank loans over delays – Accountant General African teams scared of Falcons — Madugu Police, military recover 67 stolen cows in Kano Profit before tax rose by 31 per cent to N179.5bn, while profit after tax grew by 44 per cent to N135.9bn, reflecting improved operational efficiency and stronger earnings.
Total assets increased by 33 per cent to about N1tn from N751bn in 2024, while shareholders’ funds rose by 47 per cent to N353bn, indicating stronger capitalisation and investor confidence. The Board also proposed a total dividend of N2.00 per share for the 2025 financial year, comprising an interim dividend of 40 kobo and a final dividend of N1.60, amounting to a total payout of over N20.32bn.