Femi Otedola Expands Stake in First HoldCo Plc
Billionaire investor and Chairman of First HoldCo Plc, Femi Otedola, has significantly expanded his holdings in the company by acquiring approximately 680 million shares through a recent private placement. This acquisition elevates his stake in the financial institution to 20.42%, solidifying his position as the largest shareholder.
Details from the private placement allotment document reveal that Otedola received 672.9 million shares valued at around N29.6 billion. The move is part of a broader strategy to enhance his influence within the financial services group, which is experiencing a period of capital growth.
Shares in the private placement were sold at N44 each, marking a substantial discount from First HoldCo’s last closing price of N60.50. Throughout this year, the stock has fluctuated between a low of about N49 and a high of N83, reflecting varying investor sentiment in the marketplace.
Additionally, another tranche of the private placement is in the works, with potential offerings expected to be priced near the N44 per share paid by investors in the completed round. This indicates ongoing demand for shares and investor confidence in the company’s future.
Investor Participation Highlights
According to transaction details accessed by Nairametrics, Otedola, along with another institutional shareholder, accounted for approximately 90% of the N45 billion private placement. Officials indicated that Otedola’s total investment in this round amounted to about N30 billion, further establishing his commitment to the bank. The remaining shares were acquired by a notable institutional investor.
The funds generated by this placement have raised the bank’s share capital to approximately N525.6 billion, surpassing regulatory requirements set forth by the Central Bank of Nigeria. A press release issued by First HoldCo confirmed the successful completion of the private placement, noting that all necessary approvals had been secured from both the Central Bank and the Securities and Exchange Commission.
Background on Otedola’s Acquisitions
Femi Otedola has been active in increasing his stock in First HoldCo over the past year through a series of tactical acquisitions. Prior to this private placement, he made a notable purchase on the Nigerian Exchange on May 13, 2026, via Calvados Global Services Limited, acquiring 549,535,653 shares at an average price of N79 per share, valued at approximately N43.41 billion. Following this transaction, his total shareholdings rose, and after the latest private placement, he holds an estimated 9,285,739,834 shares.
This strategic accumulation positions Otedola with significant influence within First HoldCo, exemplifying his long-term commitment to enhancing the group’s growth potential.
Strategic Capital Expansion Plans
In accordance with the group’s overarching strategy, First HoldCo shareholders recently approved a plan to raise up to N253.1 billion as part of its initiative to achieve N1 trillion in paid-up capital. This resolution was established during the company’s 14th annual general meeting held virtually on May 29, 2026. This ambitious capital target is designed to exceed the Central Bank of Nigeria’s minimum requirement for internationally licensed banks, which stands at N500 billion.
Earlier this year, the group had already injected N270 billion into First Bank as part of its recapitalization efforts. The recent N45 billion private placement represents the second tranche of a larger N350 billion capital raising program. This influx of capital is intended to not only strengthen FirstBank’s balance sheet but also enhance its competitive position and support long-term growth.
On the trading front, First HoldCo’s share price closed at N61.00 on Thursday, reflecting a 0.83% increase from the previous session, with a total of 115.8 million shares traded—valuing the market at approximately N7 billion. This uptick indicates a positive market response to the recent developments and investor confidence in the company’s future outlook.
