Billionaire businessman Femi Otedola has claimed that his offer to purchase Nigeria’s conglomerate Transcorp Corporation for N250 billion ($609 million) was rejected.

Otedola had acquired Transcorp’s shares with the intention of increasing the company’s potential to at least N2 trillion ($4.9 billion), up from its present market cap of N40 billion.

However, he announced that he was bought out by a majority shareholder in the company who had a different vision for the company’s future.

ALSO READ: Femi Otedola sells stake in Transcorp just weeks after acquiring shares

Otedola explained that he believed in market competition and dynamics, and he respected the majority shareholder’s decision to buy him out.

Otedola went on to recount his business deals with the chairman of Transcorp, Tony Elumelu, dating back to 2005 when Elumelu had approached him for funds to acquire UBA.

Otedola had given Elumelu $20 million, which he used to purchase the necessary shares in UBA for the acquisition.

After a short period, the share price moved up, and Otedola decided to sell his shares, but Elumelu convinced him to hold on to the shares because he was convinced there were future prospects.

Otedola held a five percent shareholding in Transcorp Hotel in 2007, which Tony began buying quietly. After Otedola went bankrupt in 2008, Elumelu took over his shares in Africa Finance Corporation and UBA to service his loans.

Later, Elumelu outbid Otedola by offering to purchase the Ughelli Power Plant for $300 million when Otedola wanted to enter the power business.

ALSO READ: Transcorp power plant operated and managed solely by Nigerians – Tony Elumelu

Otedola believed that the rejection of his offer for Transcorp was made with the best intentions for the company’s shareholders.

He emphasized that free entry and free exit were critical to healthy markets and that stakeholders in Nigerian companies were getting shortchanged by the owners and managers who lived a jet-set lifestyle.

Otedola added that he would always look for ways to create value for all stakeholders and hoped that the company would continue to thrive under new leadership.