A pre-qualified company for the sale of Omotosho Generation Company,
BRESSON Consortium, led others at the weekend in the submission of bidding
documents further to the proposed sale of the plant by the Niger Delta
Power Holding Company (NDPHC).
The bidding consortium, comprising of the Mr. Gbenga Olawepo led Bresson
A.S Nigeria Limited, also has as partners Engro Powergen Limited,
Thomassen Holding Limited, Kappafrik Group, Mercados, Petrolog, and Sana
Elias Group as Financial Advisors
The bidding documents were submitted yesterday at the Nile Street, Maitama
headquarters of the NDPHC in adherence to the specified technical and
financial suitability criteria, ahead of the evaluation processes of the
agency’s experts.
The Bresson Consortium is created for the purpose of the acquisition of
80% shareholding in Omotosho Generation Company Limited and raises
acquisition finance through Equity and Debt to acquire 80% of Omotosho,
with the plan to achieve a debt to Equity ratio of 70:30 for the capital
structure.
According to the consortium, it intends to fund 30% of the required
acquisition funding through Cash Equity from BressCo Shareholders, in
conjunction with its Financial Advisors (Kappafrik Limited & Sana Elias
Group) and Strategic Investors.
Kappafrik Limited shall be responsible for creating the Fund Raising model
to fund the 30% equity of the bid based on the Risk-Reward assessment of
the scenarios at any given time considering the probability of achieving
theoretical potential value of the Assets on which BressCo is bidding. The
concept is to propose a transparent pricing mechanism for the fund raising
based on milestones as stipulated in the CPCS timeline guide, with a fixed
price per share between milestones.
The acquisition lending (70% debt) shall be provided via a syndicated loan
facility comprising of Nigeria and Foreign lenders. One of such banks and
potential lead arranger is Ecobank who have already provided a letter of
comfort to this effect.
Bresson AS Nigeria Ltd is a privately owned Nigerian company headquartered
in Abuja, principally engaged in the business of acquiring, developing,
owning, and operating Independent Power Generating Facilities (IPGF). The
company was founded in April 2005. It has committed to its first 90 MW
Simple Cycle gas fired power plant at Magboro, Lagos corridor of Ogun
state. The plant is configured on 2 GE LM6000 Turbines and scheduled for
commissioning in November 2014.
Its alliance partners Istro Energo Group of Slovakia, and equipment
suppliers, General Electric of USA-are leading industry players with far
reaching global network and presence. The Company possesses an in-depth
understanding of the issues and challenges facing the stable and
sustainable development of electricity generation. Besides Mr. Olawepo,
other leaders of the consortium are Mr. Vincent Gueneau, Mr. Vincent O.
Ebuh, and Ms. Barakat Balmelli