Billionaire investor and Chairman of First HoldCo Plc, Femi Otedola, has acquired approximately 680 million shares in the company through its recently concluded private placement, giving him a 20.42% stake in the financial institution.
According to a private placement allotment document seen by Nairametrics, Otedola was allotted 672.9 million shares valued at approximately N29.6 billion.
The acquisition further strengthens his position as the largest shareholder in the financial services group.
Investors in the private placement subscribed at N44 per share, representing a significant discount to First HoldCo’s closing market price of N60.50 per share. The stock has traded between a low of about N49 and a high of N83 so far this year.
Nairametrics understands that another tranche of the private placement is being planned and could be offered at a price close to the N44 per share paid by investors in the completed round.
What they are saying
According to details of the transaction seen by Nairametrics, Mr. Otedola and another institutional shareholder acquired about 90% of the N45 billion private placement.
- “The private placement has been completed and Mr. Otedola acquired about 680.8 million shares investing about N30 billion in the bank (Holdco). Another institutional investor who is a shareholder acquired most of the rest,” the source said.
The funds raised have increased the bank’s share capital to approximately N525.6 billion, placing it comfortably above the minimum regulatory capital requirement.
First Holdco confirmed the completion of the private placement via a press release earlier published by Nairametrics
- “First HoldCo Plc (“FirstHoldCo” or “the Group”) hereby notifies the Nigerian Exchange Limited (NGX), its shareholders, and the investing public that it has successfully completed the N45 billion second tranche of its ongoing N350 billion Private Placement programme, having secured all requisite approvals from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC),” the company stated in a filing.
The company also disclosed that the proceeds from the capital raise will be injected into First Bank of Nigeria Limited as part of its capital restoration plan and broader balance sheet strengthening programme.
Backstory
Otedola has steadily increased his ownership stake in First Holdco over the past year through a series of strategic share acquisitions.
His most recent acquisition before the private placement was executed on the Nigerian Exchange on May 13, 2026, through Calvados Global Services Limited.
- The transaction involved the purchase of 549,535,653 shares at an average price of N79 per share.
- The acquisition was valued at approximately N43.41 billion.
- Otedola’s stake increased from 8,055,314,486 shares reported in the company’s FY 2025 audited accounts to 8,604,850,139 shares following the purchase.
- Following the latest private placement allotment, his total shareholding is estimated at 9,285,739,834 shares.
The additional shares raise Otedola’s stake in First Holdco to approximately 20.42%, further extending his influence and control within the group.
What you should know
First HoldCo shareholders recently approved plans to raise up to N253.099 billion as part of the group’s strategy to achieve N1 trillion in paid-up capital.
- The resolution was approved at the company’s 14th Annual General Meeting held virtually on May 29, 2026.
- The capital raise forms part of First HoldCo’s broader balance sheet fortification programme.
- The N1 trillion paid-up capital target is double the Central Bank of Nigeria’s N500 billion minimum capital requirement for banks with international authorisation.
- The group had previously injected approximately N270 billion into FirstBank as part of its recapitalisation efforts.
- The latest N45 billion private placement represents the second tranche of the group’s ongoing N350 billion capital raising programme.
With the latest capital injection, First HoldCo is expected to further strengthen FirstBank’s balance sheet and address capital adequacy requirements while positioning the bank for long-term growth and competitiveness.
First HoldCo’s share price closed at N61.00 on Thursday, up 0.83% from the previous trading session. A total of 115.8 million shares exchanged hands during the day, with a market value of approximately N7 billion.
