Tony Elumelu’s Heirs Energies has acquired a 20% stake in Seplat Vitality for $500 million, turning into the one largest shareholder within the firm.
This landmark achievement was supported by two main African monetary establishments—Afreximbank and Africa Finance Company—additional demonstrating Africa’s capability to finance its personal offers.
It will likely be recalled that simply final week, Heirs Energies closed a $750 million financing cope with Afreximbank to fund its current operations and growth plans.
With this monetary firepower, Heirs Energies is well-positioned to execute transactions of this scale.
Seplat Vitality presently produces roughly 286 thousand barrels of oil equal per day (kboepd), whereas Heirs Vitality produces round 70 kboepd.
What they’re saying
In keeping with the deal’s particulars, French oil and fuel firm Maurel & Promenade (M&P) entered right into a binding settlement to promote its complete 20.07% stake in Seplat Vitality Plc to Heirs Energies Ltd for a complete consideration of $496 million.
That is primarily based on the sale of 120.4 million shares for 305 pence per share, as disclosed by M&P on December 31, 2025. Seplat is presently buying and selling at 275 pence per share, indicating a ten.9% premium to its present worth.
The deal consists of an upfront cost of $248 million, with the remaining stability due inside 30 days and backed by an irrevocable letter of credit score.
An extra $10 million in contingent consideration may be paid, relying on Seplat’s share worth efficiency over the subsequent six months.
The client, Heirs Energies, is a subsidiary of Heirs Holdings, a pan-African funding firm recognized for long-term strategic investments throughout sectors.
Commenting on the transaction, Tony Elumelu, Chairman of Heirs Energies, mentioned:
- “This acquisition displays our sturdy perception in Africa’s potential to personal, develop, and responsibly handle its strategic sources. It’s a long-term funding in Nigeria’s and Africa’s power future and aligns with our mission to drive power safety, industrialisation, and shared prosperity.
- “Seplat Vitality has constructed a resilient, well-governed platform with compelling long-term prospects, and we’re happy to assist its continued development and worth creation for all stakeholders.”
M&P, one among Seplat’s three founding shareholders, has held the most important single stake because the firm was based in 2010.
- “Over the previous 15 years, M&P has supported Seplat’s transformation into one among Nigeria’s high impartial power firms, enjoying a key function within the nation’s power safety by way of its diversified oil and fuel portfolio,” M&P mentioned.
M&P’s CEO, Olivier de Langavant, additionally expressed pleasure within the firm’s long-standing assist for Seplat, stating:
- “We’re extremely proud to have supported Seplat’s journey during the last fifteen years and its transformation into a number one power firm in Nigeria throughout each oil and fuel.”
He added:
- “This funding has additionally confirmed to be an awesome success for M&P, delivering very sturdy returns since its inception in 2010. We imagine that now could be the fitting time for M&P to monetise this place and additional concentrate on direct investments in oil and fuel property, in keeping with a development technique that we plan to speed up.”
The transaction marks a big change in Seplat’s possession construction, with Heirs Energies, a subsidiary of Heirs Holdings, stepping in as a brand new long-term strategic investor.
M&P expressed confidence in Heirs Energies as a successor shareholder, stating that Seplat is well-positioned to proceed thriving below its new possession.
Authorized and monetary advisers to the deal have been Herbert Smith Freehills Kramer, and Morgan Stanley, respectively.
The sale represents a big exit by a founding investor in one among Nigeria’s key indigenous oil and fuel companies. Whereas no point out was fabricated from regulatory approvals or timelines for completion, the structured nature of the transaction—together with the secured letter of credit score—suggests a well-orchestrated transition.
Why this issues
This deal marks a significant shift in Seplat’s possession construction and displays broader modifications in Nigeria’s power funding panorama.
With M&P exiting to concentrate on asset-level investments and Heirs Holdings deepening its power footprint, the transaction might affect investor confidence and doubtlessly spur additional consolidation or strategic alliances in Nigeria’s oil and fuel sector.
Moreover, it highlights Seplat’s continued attractiveness as a key participant within the area.
- Heirs Energies operates OML 17 within the Niger Delta, producing over 50 thousand barrels of oil per day (50 kbopd) and 120 million cubic ft of fuel per day (120 mmcfd), with a reserves base of over 1.5 billion barrels of oil (MMbbl) and a pair of.5 trillion cubic ft of fuel (Tcf).
- Since its debut in 2021, Heirs Energies has established itself as a brownfield excellence chief, having efficiently addressed the challenges confronting onshore operations in Nigeria and serving as a important catalyst for the rejuvenation of protected and dependable onshore manufacturing within the Niger Delta.
Heirs Energies can also be a number one fuel producer and provider to Nigeria’s home fuel market, offering gasoline for over 400 megawatts of electrical energy era and powering hundreds of thousands of houses, companies, and factories.
The deal successfully positions the group as one of many largest built-in power firms in Africa.
What you need to know
Seplat was buying and selling at 275 pence on the London Inventory Trade, with a market capitalisation of £1.66 billion.
- Maurel’s 120,402,000 shares are due to this fact valued at roughly £331.1 million. It has exited at a valuation of round £367.2 million.
- Seplat’s different shareholders embrace Petrolin Group with 13.77%, Sustainable Capital 9.77%, Skilled Assist 8.5% and Allan Grey Funding Administration at 5.57%.
- Heirs Vitality thus turns into the most important shareholder with a 20.46% stake.
Seplat was based by Austin Avuru and ABC Orjiako by way of a merger of their firms ,Shebah Petroleum and Platform Petroleum in 2009.
