Otedola Becomes First Bank Top Shareholder As He Picks Additional Shares, Brings Total Stake To 11.64%

Posted on June 25, 2024

Billionaire tycoon, Femi Otedola has splashed a whopping $11.3 million to acquire additional 2.22 percent stake in First Bank of Nigeria Holdings Plc (FBN Holdings), the parent company of Nigeria’s oldest commercial bank, First Bank of Nigeria Limited, reinforcing his status as the largest shareholder in the lender.

Otedola, the chairman of FBN Holdings and Geregu Power Plc, bought 797,946,415 shares — representing a 2.22-percent stake in FBN Holdings — at an average price of N21.58 ($0.014) per share.

This transaction valued at N17.22 billion ($11.3 million), was executed on the Nigerian Exchange (NGX) on Monday 24 June.

This latest purchase brings Otedola’s total stake to 11.64 percent, cementing his position as a top player in the African financial services industry.

Last week, Otedola acquired 863,180,810 shares through through Calvados Global Services Limited, one of his companies.

This purchase, executed on June 20 and valued at N18.95 billion ($12.56 million), increased his holdings from 7.01 percent to 9.42 percent, surpassing Obafoluke Otudeko, who holds an 8.67 percent stake through Barbican Capital Limited.

FBN Holdings, one of Nigeria’s most valuable financial services groups, boasts a rich history.

Its subsidiary, First Bank of Nigeria Limited, is the country’s oldest commercial bank, with a 130-year legacy of providing development-oriented services and leading financial inclusion efforts in West Africa.

First Bank, as a national icon and an international player, is one of the most enduring financial services brands in Africa.

The bank extends its reach beyond Nigeria through subsidiaries in key African markets like Ghana, Senegal, and Gambia, along with a representative office in Beijing and branches in London and Paris.

Otedola’s investment journey with FBN Holdings began in October 2021 when he acquired a 5.07 percent stake.

His consistent purchases have significantly increased his holdings, demonstrating his strategic commitment to the banking group.

In the first quarter of 2024, Otedola further expanded his stake by purchasing 517,939,764 shares valued at N11.65 billion ($7.77 million).

Otedola’s influence has extended beyond ownership; his appointment as chairman of FBN Holdings has solidified his impact on the group’s direction.

Under his leadership, FBN Holdings reported a remarkable 127-percent profit increase in the 2023 fiscal year, surpassing $210 million.

The group’s profit reached N310.01 billion ($219.25 million), a significant rise from N136.31 billion ($96.4 million) the previous year.

In the first quarter of 2024, FBN Holdings posted a net profit of N208.2 billion, marking a 315.8-percent increase from N50.1 billion ($36 million) in the same period last year.

The group’s total assets grew to N21.58 trillion ($15.51 billion) by March 31, 2024, up from N16.94 trillion ($12.17 billion) at the end of 2023.

This growth reflects the robust financial health of FBN Holdings under Otedola’s leadership.


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