Shares of Seplat Energy, a Nigerian oil and gas company, surged 57% following the acquisition of a strategic $496 million stake by Heirs Energies, a subsidiary of Nigerian billionaire Tony Elumelu.

The transaction makes Heirs Energies the largest single shareholder in Seplat Energy, marking a significant change in the company’s ownership structure. Analysts view the deal as a positive signal for the Nigerian energy market.

Investors reacted strongly, adding approximately $1.25 billion to Seplat Energy’s market capitalization after the announcement.

Industry experts say the entry of a major local investor could drive the company’s growth, support the development of new oil and gas projects, and enhance confidence among international partners.

The acquisition comes as Nigeria seeks to strengthen its energy sector and attract more private investment to support local hydrocarbon production and processing.

While the deal has already had an immediate impact on the market, its long-term effect on Seplat Energy’s growth and on the broader Nigerian energy sector remains to be seen.