Honeywell Group acquires 14.12% stake in Ikeja Hotel Plc

By Olamide Akintunde

Honeywell Group Limited has acquired a 14.12 per cent equity stake in Ikeja Hotel Plc, deepening its investment footprint in Nigeria’s hospitality and capital markets.

The acquisition was disclosed by Ikeja Hotel Plc in a regulatory filing submitted to the Nigerian Exchange Limited (NGX) on July 2.

According to the filing, HGL Real Estate Limited, an affiliate of Honeywell Group, acquired 305,323,525 ordinary shares in Ikeja Hotel Plc, representing a 14.12 per cent shareholding in the company.

“Ikeja Hotel Plc hereby notifies the Nigerian Exchange Limited and the investing public that it has received notification from HGL Real Estate Limited, an affiliate of Honeywell Group Limited, that it has acquired 305,323,525 units of Ikeja Hotel Plc’s shares, representing a 14.12 per cent shareholding in the company,” the filing stated.

Although the value of the transaction was not disclosed, the acquired shares were valued at about N13.21 billion, based on Ikeja Hotel Plc’s closing share price of N43.25 on the Nigerian Exchange at the close of trading.

Honeywell Group, controlled by businessman Oba Otudeko, has remained active in Nigeria’s corporate and capital markets through strategic investments and portfolio restructuring.

The latest acquisition follows a landmark transaction in July 2025, when the Securities and Exchange Commission (SEC) issued a “no objection” to the sale of shares in First HoldCo Plc by Oba Otudeko and Tunde Hassan-Odukale to RC Investment Management Limited.

The off-market deal involved 10.43 billion shares at N31 per share, valued at N323.4 billion and representing about 25 per cent of First HoldCo’s outstanding shares. The transaction marked Otudeko’s exit as a major shareholder in the financial institution after decades of involvement.

The investment also comes amid strong financial performance by Honeywell-related businesses.

Honeywell Flour Mills Plc recently posted a profit before tax of N21.9 billion for the financial year ended March 31, representing a 3.3 per cent increase from the previous year. Revenue rose to N360.85 billion, while lower finance costs helped improve profitability despite softer operating performance.

The company’s board also proposed a dividend of N0.20 per share, amounting to N1.59 billion, compared with no dividend payment in the previous financial year.