Heirs Holdings commits $100m to fuel Africa’s entrepreneurial engine 

Onome Amuge

Heirs Holdings, in its 14 years of operations, has made significant contributions to Africa’s economic growth by investing over $100 million to support 20,000 young African entrepreneurs. These efforts have resulted in the creation of 400,000 jobs, fostering a thriving network of opportunities and unlocking the entrepreneurial potential of the continent.

This is as the group reaffirmed its dedication to accelerating economic growth in Nigeria and across the African continent through a diverse portfolio of investments in key sectors such as power, energy, financial services, hospitality, real estate, technology, and healthcare. 

The company’s commitment to Africa’s future is evident in its ongoing strategy to invest in transformative projects and ventures that support long-term growth and development across the continent, building on its track record of driving innovation and economic progress in Africa.

Speaking at Heirs Holdings’ 14th anniversary celebration held at Heirs Place in Lagos, Group Chairman Tony Elumelu took the opportunity to celebrate the group’s significant achievements and milestones over the years. Elumelu recounted the group’s remarkable journey since its establishment, emphasising its sustained commitment to investing in key strategic sectors and making a tangible impact on Africa’s economic development.

In his address, Elumelu spoke extensively on the company’s determination to enhance power distribution in Nigeria despite the sector’s challenges.  This resolve, he stated, is particularly noteworthy in light of the current issues confronting the domestic power sector, specifically the difficulty local distribution companies face in absorbing all the electricity generated by Transcorp Power, a Heirs Holdings subsidiary.

Elumelu pointed to Transcorp’s acquisition of Abuja Electricity Distribution Company (AEDC), ranked as the third-largest electricity distribution company in Nigeria, as a clear demonstration of Heirs Holdings’ active participation in the sector. 

While acknowledging the tough operating environment for AEDC, Elumelu was quick to emphasise Heirs Holdings’ proven track record of transforming underperforming businesses into successful and valuable assets, even in the face of challenges.

Reflecting on Heirs Holdings’ journey, Elumelu recalled that in 2010, the group embarked on an ambitious mission to invest in critical sectors and act as a catalyst for Africa’s economic development. He also outlined the company’s clear vision to establish a role model corporation, one that personifies African aspirations and values, is built to last, and champions the continent on the world stage. 

“As we reflect on our achievements, driven by our core values of excellence, enterprise, and execution, we look both back and forward. We have built a reputation for transforming sectors, turning around businesses, and driving innovation, exemplifying how strong corporate governance, discipline, and resilience can lead to success,” the group chairman stated.

Owen Omogiafo, group CEO of Transnational Corporation Plc (Transcorp), one of Heirs Holdings’ subsidiaries, underscored the crucial role of power in driving Nigeria’s and the global economy. 

Omogiafo explained that through Transcorp’s investments in the energy sector, the group is committed to fostering sustainable and efficient power generation, transmission, and distribution, recognising that power is a fundamental element in driving economic development and advancement. 

The group CEO of Transcorp, projected an optimistic future for the company, emphasising its commitment to the principle of Africapitalism, which harmonises profitability with positive social impact. 

Omogiafo highlighted the group’s success in listing three out of its seven companies, highlighting Transcorp’s dedication to ensuring that the wealth generated by its investments is distributed equitably. She expressed confidence that this approach to business is central to Transcorp’s ethos and will continue to drive the group’s efforts in transforming the African economy.

In her words, “As at today, we account for about 15 per cent of Nigeria’s power generation. With our investment in distribution, we actually cover a landscape of over 130,000 square kilometres. We have two power companies. Transcorp Power and Transafem Power which are direct investments; and we have an indirect investment in Abuja Electric Distribution.

“Our hospitality business is a leader in the hospitality sector of the country.”

Also speaking at the event, Osa Igiehon, CEO of Heirs Energies Limited, one of the group’s subsidiaries, revealed that the company contributes significantly to Nigeria’s oil production and domestic gas supply, accounting for approximately five percent of the country’s output. 

Igiehon highlighted Heirs Holdings’ vision of developing an integrated energy business that meets Africa’s energy needs, a journey that began more than a decade ago. He stressed that the group is committed to addressing the continent’s energy challenges and driving sustainable economic growth through its investments in the energy sector.

“We are proud of our contributions to Nigeria’s energy security and sufficiency. Most importantly, within just three and a half years, we are already seen as a top player,” he stated. 

Adesimbo Ukiri, CEO of Avon HMO, highlighted the challenges in the healthcare sector but expressed pride in Avon’s achievements over its 11 years of existence. “For instance, we have impacted about 500,000 Nigerians through our services at hospitals. We offer health plans that cater to all classes of people—companies, individual users, and their families. Over the years, we have paid over N38 billion in hospital claims, a significant achievement for an HMO,” Ukiri noted. She pointed out that only about 8% of Nigeria’s population currently has access to healthcare coverage and emphasized Avon’s commitment to expanding this reach. “That means 92% don’t. Nigeria is huge. It takes investment to reach all those people, so we will be at the forefront of that,” she assured.

On his part, Peter Ashade, Group CEO of United Capital, highlighted the company’s achievements, emphasising its contribution to value creation for its shareholders and the overall financial ecosystem. 

Ashade revealed that the company currently operates seven diverse businesses, spanning investment banking, securities, asset management, trustees, wealth management, and consumer finance. 

Adesimbo Ukiri, CEO of Avon HMO, a Heirs Holdings’ subsidiary, underscored the company’s commitment to the growth of Nigeria’s healthcare sector. 

Ukiri stated that the company has impacted the lives of approximately 500,000 Nigerians through its HMO services and facilities, as well as the health plans offered to customers. She further noted that Avon HMO has paid out over N38 billion in hospital claims, demonstrating the company’s significant contribution to the country’s healthcare sector. 

In its pursuit of pan-African expansion, Heirs Holdings recently secured a major milestone with its financial services group receiving a license to operate as an Asset Manager in the West African Economic and Monetary Union (WAEMU) bloc. This license enables the group’s financial services arm to offer its services in the WAEMU member countries, which include Benin, Burkina Faso, Côte D’Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo.