Archlight Nigeria Limited has categorically denied allegations that it assigned 50% of its shares in the Ibadan Electricity Distribution Company (IBEDC) to 86 Gardens Limited. This denial comes in response to claims made by 86 Gardens in a court filing, which sought to prevent Archlight from transferring the shares to any other party. The dispute centers around a contentious agreement that 86 Gardens asserts was reached but never fulfilled due to non-payment of agreed fees.
Archlight acquired a 60% stake in IBEDC from the Asset Management Corporation of Nigeria (AMCON) in 2024, following a competitive bidding process. 86 Gardens, through its subsidiary Africa Plus Partners Nigeria Limited, participated in the bid but was designated as a reserved bidder after failing to meet the bid requirements.
The Federal High Court in Lagos has granted an interim injunction preventing Archlight from transferring the disputed shares until the matter is resolved. The hearing is scheduled for May 16, 2025. Archlight maintains that it has full and unencumbered ownership of its IBEDC equity, secured through a transparent and competitive process. It also emphasizes that 86 Gardens never fulfilled the conditions for share transfer, including payment of agreed fees, and thus has no legal claim to the shares.
This ongoing legal battle highlights the complexities and challenges associated with corporate transactions in Nigeria’s energy sector. As the case unfolds, it will be crucial for the court to clarify the ownership status and ensure that any resolution aligns with legal and regulatory standards.
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