Transcorp Injects $120 million into The Hospitality Industry, Says Elumelu |The Source

By Uche Mbah

Chairman, Transnational Corporation of Nigeria, (Transcorp) Tony Elumelu, has said the company has injected $120 million into hospitality industries, with the aim of rehabilitating facilities and “laying an investment foundation for a better tomorrow”.

This is the first time on record this was done since the hotel was commissioned thirty years ago.

Speaking at the Annual General Meeting, AGM, of the company recently, Elumelu said this was done as part of long-term investing.

“We did this because we are long-term investors”, he said. “We believe in investing today for a better tomorrow.

“This hotel is here to make money for shareholders. In terms of the value of the assets, they have significantly improved.

“We are laying an investment foundation for a better tomorrow.”

Transcorp was established as Hilton Hotel. It later changed its name to NICON NUGA HILTON HOTEL. Transcorp bought the government holdings, which was by NICON Insurance, and, as the Israeli investors left, it became fully Transcorp hotel.

In an expected advertisement gimmick, Elumelu said the future of the Hotel is “extremely bright”.

“This is time for wise investors to secure their future and that of their children”, he said.

Referring to the indebtedness of government to power generating firms, he expressed optimism that the government is gradually liquidating the debts, for which the hotel set aside N97 billion impairment on its balance sheet. He noted that more funds may have been committed to the repayment of the debts.

“It’s actually a debt owed by the federal government to power companies.

“But as I said, things are now improving. Let me recognize the efforts of the government especially the CBN governor who had been extremely patriotic and involved in driving the improvements in the repayments in the power sector. We hope that progressively they’ll clear all of these,” he said.