Otedola deepens First HoldCo control with N273.6bn

Billionaire investor and Chairman of First HoldCo Plc, Femi Otedola, has significantly expanded his controlling grip on the financial services institution following a massive equity accumulation blitz on the floor of the Nigerian Exchange Limited.

Over the course of four consecutive, multi-billion-naira transactions within a single month, Otedola deployed a cumulative total of N273.59bn through his closely affiliated investment vehicle, Calvados Global Services Limited, rapidly pushing his shareholding to 27.70 per cent of the company’s total issued share capital.

The continuous insider buyouts have brought Otedola within striking distance of the critical 30 per cent equity ownership threshold. Under regulatory provisions enforced by the Investments and Securities Act alongside rules governed by the Securities and Exchange Commission, any single entity or investor acquiring 30 per cent or more of voting rights in a publicly traded firm is legally obligated to initiate a mandatory takeover offer to all remaining shareholders.

The financial holding company has been undergoing structural shifts following its recent corporate rebranding from FBN Holdings Plc to First HoldCo Plc. Otedola initially emerged as the group’s single largest shareholder in October 2021 after acquiring a 5.07 per cent stake, igniting a prolonged boardroom race for dominant ownership. His appointment as Board Chairman in early 2024 marked a decisive turn in the group’s leadership structure, paving the way for aggressive capital consolidation.

The multi-stage acquisition drive commenced in late July 2026 with a massive single-day deal involving 1.77 billion shares purchased for N222.20bn. This initial mega-transaction instantly lifted Otedola’s stake from 21.96 per cent to 25.88 per cent. He followed up early in August with an N18.11bn acquisition of 138.04 million shares executed at N131.20 per share, which brought his direct ownership to approximately 27.16 per cent.

Demonstrating sustained momentum on the bourse, Otedola executed a third tranche in mid-August, picking up 147.74 million ordinary shares at N140 per share in a deal valued at N20.70bn.

The strategic buying campaign culminated in a fourth tranche disclosure signed and authorised by Group Company Secretary Abiola Baruwa, confirming the purchase of 95,699,240 additional ordinary shares at N131.48 each for a total consideration of N12.58bn.

In an official regulatory filing confirming insider share dealings to satisfy market compliance, Baruwa noted that the published disclosures serve as an official notification to maintain full capital market transparency. Responding to questions regarding the aggressive equity consolidation, Otedola framed his investment thesis around long-term stability and underlying institutional strength rather than short-term market movements.

“That figure speaks not to speculation but to unflinching confidence in the institution’s future and my unwavering commitment to its success. If you look at my antecedents, my investment threshold is always centered on long-term value creation,” Otedola stated while reflecting on his multi-billion-naira positioning strategy.

He further expanded on his broad ownership vision, emphasising, “Building a strong, major stake in an institution of this caliber ensures long-term stability and aligns strategic direction directly with sustainable shareholder value.”

Market operators and capital analysts note that Otedola’s equity surge comes at a pivotal period for the Nigerian banking sector, as commercial banking institutions navigate mandatory recapitalisation mandates by the Central Bank of Nigeria.

Under the apex bank’s recapitalisation directives, commercial banks with international authorisation are required to raise their minimum capital base to N500bn, forcing holding companies into aggressive capital-raising efforts, rights issues, and private placements.

The aggressive capital injection into First HoldCo has bolstered investor sentiment on the NGX, driving the financial group to record heights as the single most valuable banking equity on the exchange by market capitalisation.

Lagos-based trader and capital market analyst Ade Ojapa emphasised the broader market implications of such concentrated capital inflows.

“Market participants expect the sheer size of the trade to boost trading volume and sentiment around First HoldCo equities as the market digests the structural impact of the deal,” Ojapa noted, adding that insider capital injections of this magnitude signal profound institutional trust in the group’s operational resilience, balance sheet recovery, and long-term earnings capability.

With over 12.14 billion ordinary shares now consolidated under his beneficial control, Otedola stands as the undisputed principal shareholder in First HoldCo. As his aggressive buying spree continues to close the gap toward the 30 per cent threshold, market watchers, institutional holders, and industry regulators remain hyper-focused on his next strategic moves on the local bourse.