Nigerian billionaire Femi Otedola has tightened his grip on First HoldCo Plc, raising his ownership to more than 20 percent following the group’s N45 billion private placement.
A BusinessDay analysis of First HoldCo’s latest shareholding disclosures and Nigerian Exchange (NGX) market data shows that Otedola’s combined direct and indirect interest in the banking group climbed to 9.29 billion shares, representing 20.42 percent, after participating in the company’s recently concluded N45 billion private placement, the second phase of its N350 billion recapitalisation programme.
The increase underscores Otedola’s long-term bet on the parent company of FirstBank, Nigeria’s oldest lender, at a time when investors are increasingly rewarding recapitalised banks expected to benefit from stronger balance sheets and higher lending capacity.
The market has responded aggressively. First HoldCo’s shares climbed to a record N105.50 on the Nigerian Exchange on Monday, trading at full bid with nearly 78 million shares on the bid side at the time of writing. At that price, Otedola’s stake was worth approximately N980 billion, equivalent to more than $710 million.
The appreciation means the value of his investment has more than doubled within weeks. Since early July, the market value of his holding has risen by roughly $357 million, from about $353 million to over $710 million, driven largely by renewed investor demand for banking stocks and optimism surrounding First HoldCo’s recapitalisation and earnings outlook.
The rally has also pushed Otedola’s estimated net worth above $2 billion, with First HoldCo now ranking among the most valuable assets in his listed investment portfolio.
Ownership climbs despite capital expansion. The latest disclosures reveal a steady increase in Otedola’s ownership even as First HoldCo significantly expanded its share capital.
As of June 30, 2025, he owned a combined 6.68 billion shares, comprising 3.21 billion direct shares and 3.47 billion indirect shares, representing 15.95 percent of the company.
By March 31, 2026, his combined holding had increased to 8.06 billion shares, equivalent to 18.12 percent, following additional acquisitions.
The latest filing for June 30, 2026, shows his ownership climbed further to 9.28 billion shares, representing 20.40 percent, after his indirect holdings increased sharply to 6.03 billion shares from 4.80 billion shares three months earlier. His direct ownership remained broadly unchanged at about 3.25 billion shares.
Overall, Otedola added roughly 2.6 billion shares over the past year, increasing his ownership by 4.45 percentage points despite First HoldCo expanding its issued share capital from 41.88 billion shares to 45.48 billion shares during the same period.
His latest participation in the private placement has since lifted his interest further to approximately 20.42 percent, according to market disclosures.
Strategic bet on recapitalisation
The increase follows First HoldCo’s N45 billion private placement, through which Otedola acquired about 672.9 million additional shares at N44.06 per share, investing approximately N29.6 billion.
The transaction was completed at a 38.5 percent discount to the market price of N60.50 at the time, giving the billionaire investor an opportunity to significantly increase his stake ahead of the current rally.
The placement forms part of the group’s broader N350 billion capital-raising programme, which has received regulatory approvals from both the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC).
Following the latest issuance, First HoldCo’s paid-up share capital rose to approximately N525.6 billion, comfortably exceeding the new minimum capital requirement for international commercial banks under the CBN’s recapitalisation framework.
The banking group still plans to raise about N221 billion under the programme as it works toward a N1 trillion paid-up share capital, a move expected to strengthen its capital adequacy, support loan growth, and improve its ability to finance larger transactions.
Half-year earnings boost investors’ optimism
The aggressive buying in First HoldCo shares also reflects growing optimism as the release the group’s half-year financial results.
The lender entered the second half of the year emerging as Nigeria’s most capitalized banking stock, overtaking Zenith Bank after a sharp rally in its share price lifted its market capitalisation to approximately N4.80 trillion.
The development underscores renewed investor confidence in the Group following stronger financial performance and successful recapitalization efforts.
First HoldCo is edging ahead of Zenith Bank, which closed with a market value of about N4.79 trillion, while Guaranty Trust Holding Company (GTCO) followed closely at N4.71 trillion.