NNPC Denies Oando and Tinubu’s Involvement in OVH Acquisition Deal

The Nigerian National Petroleum Corporation (NNPC) Limited has strongly denied claims that Oando Plc and its CEO, Wale Tinubu, hold a 49% stake in the acquisition deal involving NNPC’s retail subsidiary and OVH Energy. The corporation issued a statement on Thursday to clarify the situation and address allegations made by a former vice president’s aide.

Olufemi Soneye, the spokesperson for NNPC, stated that the accusations made by Paul Ibe, an aide to former Vice President Atiku Abubakar, are both inaccurate and unfounded. Paul Ibe had previously alleged that the acquisition of NNPC Retail Ltd. by OVH was a “criminal hijack” orchestrated by corporate insiders and claimed that Wale Tinubu held a significant stake in OVH.

In response, NNPC clarified that Oando Plc, in which Wale Tinubu has equity interests, had completely divested its shares in OVH Energy to other partners, Vitol and Helios, well before NNPC Retail Ltd. acquired OVH in 2022. Soneye explained, “Oando began its divestment in 2016, and by 2019, it had fully sold its equity interest in OVH to Vitol and Helios, each holding 50% equity interests.”

He further added, “NNPC Limited acquired OVH Energy in 2022 as part of our strategic business initiatives aimed at maximizing profitability and enhancing our market presence.”

The controversy began when Paul Ibe claimed that the acquisition was part of a scheme by President Bola Tinubu to merge his personal business interests with Nigeria’s public enterprises. He also alleged that Mr. Mele Kyari’s retention as Group Chief Executive Officer of NNPC Ltd was compensation for this alleged acquisition.

NNPC addressed these claims in their statement, noting that the merger with OVH Energy was based on sound commercial advice and the pursuit of national interest. Soneye emphasized, “The decision to merge NNPC Retail Limited into OVH was driven by professional advice and commercial considerations. The merger aims to strengthen our retail operations and ensure better service delivery across the nation.”

He continued, “Contrary to the false allegations raised, neither Wale Tinubu nor President Bola Tinubu has any interest in the OVH acquisition. The merger and acquisition processes were conducted transparently and in the best interest of the corporation and the nation.”

NNPC also explained the steps taken during the merger process. “Upon acquiring OVH, both NNPC Retail Ltd. and OVH became subsidiaries of NNPC Ltd. We decided to merge NNPC Retail Limited into OVH and retain the name NNPC Retail Limited post-merger. The first step of merging has been completed, and the renaming process is ongoing.”

The statement further addressed the origin of the controversy, mentioning a media report that falsely alleged NNPC was trying to resell its subsidiary to OVH Energy and that OVH was a subsidiary of Oando Plc. NNPC firmly denied these claims, reiterating that Oando Plc and Wale Tinubu have no stake in OVH Energy.

Soneye concluded the statement by highlighting NNPC’s commitment to transparency and its focus on strategic business decisions that benefit the nation. “Our investment decisions are strictly based on commercial viability and national interest. We remain dedicated to ensuring that our operations contribute positively to Nigeria’s economy and uphold the highest standards of integrity.”