FBNH:Femi Otedola Boosts Stake To 9.41%, Regains First Bank’s Majority Shareholder - Global Report

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Friday, June 21, 2024

FBNH:Femi Otedola Boosts Stake To 9.41%, Regains First Bank’s Majority Shareholder

 


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

Femi Otedola

FBN Holdings Chairman Femi Otedola has regained his position as First Bank’s majority shareholder.

The business mogul now holds a 9.41% stake in the bank, after acquiring N18.9 billion worth of the group’s shares in the NGX today, June 20.  

This is according to a corporate notice filed by the financial institution on the website of the NGX. 


According to a filing, Otedola directly acquired 316,506,776 shares at a share price of N21.91 each, amounting to N6.935 billion.  

He then acquired 546,674,034 shares at N21.97 each, amounting to N12.01 billion, through his holding company, Calvados Global Services Limited.  

Otedola previously held a 7.01% stake in the bank, behind Oba Otudeko’s Barbican Capital Limited which holds an 8.67% stake.  

Thus, by acquiring an additional 863,180,810 shares, he has added 2.40% to his previous stake, thus increasing his total stake in the group to 9.41%. 

The pursuit of a majority stake in FBN Holdings has been a dynamic journey, beginning in October 2021 when Femi Otedola first announced that he had secured a 5.07% shareholding.

Following this, in December 2021, Otedola increased his stake further to 7.57%, marking a significant leap. 

By mid-2022, Otedola reduced his stake to 5.24%, divesting approximately 30% of his shareholding in the group. However, by July 2023, Oba Otudeko reemerged on the scene through his company, Barbican Capital Limited, declaring a 13.3% stake in FBN Holdings. 

At the end of the financial year, the company confirmed in its audited accounts that Barbican held an 8.67% stake, a figure also verified by the Central Bank of Nigeria (CBN). 


Despite Otedola assuming the role of Chairman of FBN Holdings in January 2024, there were still considerations regarding Otudeko’s potential influence within the company. Otedola’s declaration now makes him the majority shareholder, and as Chairman, the billionaire appears to have taken full control. 

Femi Otedola, who rejoined the Forbes Billionaires List this year, now holds the majority shareholding in two major Nigerian companies, FBN Holdings and Geregu Power Plc. He holds the second-largest individual shareholding in any publicly listed bank in Nigeria, surpassed only by Jim Ovia’s 11.29% stake in Zenith Bank. 

Otedola’s acquisition accounted for 99% of FBN Holdings’ turnover volume of 871.084 million shares on the Nigerian Exchange (NGX) today.  

FBN Holding’s share price closed at N21.9 at the close of trading down 0.45%.

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