Otedola Buys More First Bank Shares, Overtakes Rival To Become Largest Shareholder

Otedola Buys More First Bank Shares, Overtakes Rival To Become Largest Shareholder

  • Nigerian billionaire Femi Otedola has acquired additional shares in FBN Holdings Plc, the parent company of First Bank
  • The new shares have Otedola once again in the position of majority shareholder ahead of Oba Otudeko
  • First Bank is one of Nigeria's oldest banks, with presence in different countries in Africa and outside the continent

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

Nigerian billionaire businessman Femi Otedola has regained his position as the largest single shareholder of First Bank.

Otedola, who also serves as the chairman of FBN Holdings, now holds a 9.41% stake in the bank after acquiring shares worth N18.9 billion.

Femi Otedola emerges First Bank's largest shareholder
Femi Otedola is now First Bank's majority shareholder Photo credit: @firstbank
Source: Facebook

The acquisition was disclosed in a corporate notice filed by First Bank on the Nigerian Exchange (NGX) on June 20, 2024.

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Details of the acquisition

A breakdown of the acquisition showed Otedola directly acquired 316,506,776 shares at a share price of N21.91 each, amounting to N6.935 billion.

His holding company, Calvados Global Services Limited, also acquired 546,674,034 shares at N21.97 each, amounting to N12.01 billion.

Otedola's latest acquisitions have increased his stake in First Bank to 9.41%, up by 2.40% from his previous 7.01% stake.

This move places him ahead of Oba Otudeko's Barbican Capital Limited, which holds an 8.67% stake in the bank.

How did Otedola regain his position?

The journey to majority ownership has been a dynamic one for Otedola. It began in October 2021 when he first announced securing a 5.07% shareholding.

By December 2021, he had increased his stake to 7.57%.

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However, he later reduced his stake to 5.24% by mid-2022 before reemerging in January 2024 as Chairman of FBN Holdings.

With his latest acquisition, Otedola appears to have fully controlled First Bank.

FBN Holdings declares N362bn profit

Legit.ng earlier reported that FBN Holdings Plc released its unaudited financial statement for 2023, showing an impressive performance.

The company reported N362 billion profit against N136 billion the previous year, representing a 129% rise year-on-year.

The company's results show that interest income rose to N917 billion in 2023. This shows a 66% rise from the N552 billion the previous year.

Proofreading by James Ojo Adakole, journalist and copy editor at Legit.ng.

Source: Legit.ng

Dave Ibemere avatar

Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.