Transcorp Hotels Plc, a firm largely owned by Tony Elumelu’s investment firm, Transnational Corporation Plc, has disclosed a plan to sell Transcorp Hotels, Calabar.
According to Ripples Nigeria, the hotel is seeking buyers for the 100 per cent stake held in Transcorp Hotels Calabar, one of its four hotel brands, a circular released to the capital market on Wednesday states.
Transcorp Hotel’s investment in Transcorp Hotels Calabar is worth N3.50 billion as of December 31, 2022, while Transnational Corporation owns N7.80 billion in Transcorp Hotels.
The proposed sale comes at a period Transcorp Hotels Calabar suffered N269.26 million loss in 2022, and owes a debt of N235 million to Transcorp Hotels Plc.
The board directors of Transcorp Hotels have been authorised by shareholders to dispose of its 100 per cent equity interests in Transcorp Hotels Calabar Limited in accordance with relevant laws, statutes, and regulations.
Also, the company has received approval to “invest in, acquire, or divest from any business and/or carry out as the Directors may deem appropriate and in accordance with any relevant laws, any actions, including but not limited to restructuring, reorganization, reconstruction and such other business arrangement exercise or actions,” the circular added.