Strategic Expansion: Aradel Energy Acquires Controlling Stake in ND Western
Aradel Holdings Plc has significantly consolidated its position in Nigeria’s energy sector following the successful acquisition of an additional 40 percent equity interest in ND Western (NDW) Limited.
In a statement released on Wednesday, the company announced that its wholly-owned subsidiary, Aradel Energy Limited, completed the transaction after fulfilling all necessary regulatory and contractual conditions.
The deal, which involves acquiring the stake from Petrolin Trading Ltd, raises Aradel Energy Limited’s shareholding in NDW from 41.67 percent to a controlling 81.67 percent. Consequently, ND Western has now become a subsidiary of Aradel Energy Limited.
The acquisition has far-reaching implications for Aradel’s asset portfolio. ND Western currently holds a 45 percent participating interest in Oil Mining Lease (OML) 34, a prolific asset located in the Western Niger Delta.
Furthermore, the transaction increases Aradel’s indirect influence in other strategic entities. The company revealed that the deal results in a “material increase” in its aggregate shareholding in Renaissance Africa Energy Company Limited, boosting its total indirect ownership from 33.3 percent to 53.3 percent.
ND Western owns 50 percent of the share capital of Renaissance Africa Energy Holding Company Ltd, the parent firm of Renaissance Africa Energy Company Limited.
Aradel described the move as a deliberate step in its long-term strategy to expand its asset base and create sustainable value.
“This acquisition is consistent with Aradel’s long-term strategy of disciplined portfolio consolidation, asset base expansion, and sustainable value creation.
“It further strengthens the Company’s position within Nigeria’s upstream oil and gas sector, enhances operational scale, and supports improved efficiency and resilience across the Company’s asset portfolio,” the company stated.
Commenting on the milestone, Adegbite Falade, the Chief Executive Officer of Aradel Holdings, emphasized that the deal reinforces the company’s status as a leading indigenous integrated energy firm.
“Increasing our equity interest in ND Western reinforces Aradel’s position as a leading indigenous integrated energy company and enhances our ability to drive long-term value for shareholders through scale, operational efficiency, and portfolio optimization,” Falade said.
The transaction has received all requisite approvals from key regulatory bodies, including the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Federal Competition and Consumer Protection Commission (FCCPC).
This consolidation comes as indigenous energy companies continue to play an increasingly dominant role in Nigeria’s upstream sector, following divestments by international oil companies.
