Tony Elumelu’s Heirs Energies has acquired a 20% stake in Seplat Energy for $500 million, becoming the company’s single largest shareholder.
This milestone was supported by Africa’s two leading financial institutions, Afreximbank and Africa Finance Corporation, and further demonstrated Africa’s ability to finance its own transactions.
It will be recalled that just last week, Heir Energy signed a $750 million loan agreement with Afreximbank to finance its existing operations and expansion plans.
This financial strength positions Heir Energy to execute a transaction of this size.
Seplat Energy currently produces approximately 286,000 barrels of oil equivalent per day (kboepd) and Heirs Energy produces approximately 70 kboepd.
French oil and gas company Morel & Promme (M&P) has entered into a binding agreement to sell its entire 20.07% stake in Seplat Energy to Heir Energy for a total of $496 million, according to transaction details.
This builds on M&P’s disclosed sale of 120.4 million shares on 31 December 2025 at a price of 305 pence per share. Seplat is currently trading at 275p per share, representing a 10.9% premium to the current price.
The agreement includes an upfront payment of $248 million, with the remaining balance due within 30 days and is supported by an irrevocable letter of credit.
Additional contingent consideration of $10 million may also be paid depending on Seplat’s share price performance over the next six months.
The buyer, Heirs Energies, is a subsidiary of Heirs Holdings, a pan-African investment firm known for long-term strategic investments across all sectors.
Commenting on the deal, Heir Energy chairman Tony Elumelu said in a statement: “This acquisition reflects our strong belief that Africa can own, develop and responsibly manage its strategic resources. This is a long-term investment in Nigeria’s and Africa’s energy future, consistent with our mission to promote energy security, industrialization and shared prosperity.”
“Seplat Energy has built a resilient and well-managed platform with an attractive long-term outlook, and we are pleased to support its continued growth and value creation for all stakeholders.”
M&P is one of Seplat’s three founding shareholders and holds the largest single stake since its founding in 2010.
“Over the past 15 years, M&P has supported Seplat’s transformation into one of Nigeria’s top independent energy companies, playing a key role in the country’s energy security through its diversified portfolio of oil and gas,” M&P said.
Olivier de Langavan, CEO of M&P, also expressed pride in the company’s long-standing support of Seplat, saying:
“We are extremely proud of Seplat’s journey over the past 15 years and supporting its transformation into Nigeria’s leading energy company in both oil and gas.”
He added:
“This investment has also proven to be a great success for M&P, delivering very strong returns since its inception in 2010. We believe now is the right time for M&P to monetize this position and further focus on direct investments in oil and gas assets in line with our planned accelerated growth strategy.”
The transaction marks a significant change in Seplat’s ownership structure with the entry of Heirs Energies, a subsidiary of Heirs Holdings, as a new long-term strategic investor.
As successor shareholder, M&P expressed confidence in the successor and said Seplat is well positioned to continue to grow under the new ownership.
The legal and financial advisors on this transaction were Herbert Smith Freehills Kramer and Morgan Stanley, respectively.
The sale marks a significant exit by a founding investor in one of Nigeria’s leading indigenous oil and gas companies. There was no mention of regulatory approvals or a timeline for completion, but the structural nature of the transaction, including a secured letter of credit, suggests a well-planned transition.
