AMCON Confirms Sale of IBEDC for ₦100 Billion Amid Ongoing Legal Battle

The Asset Management Corporation of Nigeria (AMCON) has officially confirmed the sale of the Ibadan Electricity Distribution Company (IBEDC) for a staggering ₦100 billion, despite an active lawsuit challenging the legitimacy of the transaction.

Speaking at a media parley on Thursday, AMCON Managing Director and CEO, Gbenga Alake, revealed that the sale secured nearly double the initial offer presented by the original bidders.

“Today, I can confirm that Ibadan DisCo has been sold. When we came in, there was already an existing offer, but we rejected it and demanded a revised bid. In the end, we achieved almost double the initial valuation,” Alake stated.

Although the sale is finalized and the company is set to be handed over to the preferred bidder, Alake acknowledged ongoing legal disputes.

“There are various interests now writing and filing suits. The sale has been completed, and we are prepared to address any legal issues that may arise in court,” he added.

The sale has sparked legal concerns, particularly from civil society organizations. In May 2025, the African Initiative Against Abuse of Public Trust filed a suit at the Federal High Court in Abuja, accusing AMCON and other government agencies of conducting a “secretive and illegal” transaction.

The group argued that the sale undervalued IBEDC’s worth, citing a significant disparity between the current $62 million offer for a 60% stake and the $169 million paid for the same stake during the 2013 privatization. The lawsuit seeks to halt the transaction and address what the group calls “a loss of public assets through undervaluation.”

IBEDC is one of five power distribution companies taken over by AMCON and banks, following financial and operational difficulties.

The others include Abuja, Benin, Kaduna, and Kano Electricity Distribution Companies. The federal government had earlier announced plans to sell off these assets as part of broader reforms in the power sector.

While the government insists the sale is part of a strategic move to attract investment and stabilize the sector, critics argue that it lacks transparency and shortchanges the Nigerian people.