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Otedola Increases First HoldCo Stake With ₦222.2 Billion Share Acquisition

Otedola Increases First HoldCo Stake With ₦222.2 Billion Share Acquisition
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Billionaire businessman Femi Otedola has increased his ownership stake in First HoldCo Plc after acquiring an additional 1.77 billion shares in the financial services group through his investment company, Calvados Global Services Limited.

According to a regulatory filing on the Nigerian Exchange (NGX), the transaction, valued at approximately ₦222.20 billion, was executed on Thursday.

The latest acquisition raises Otedola's total shareholding in First HoldCo from 9.99 billion shares to 11.77 billion shares, increasing his ownership stake from 21.96 per cent to 25.88 per cent.

The purchase is Otedola's second major investment in the company this month. On July 22, he acquired an additional 706.13 million shares worth ₦77.58 billion, further consolidating his position as the financial institution's largest shareholder.

With the latest transaction, the estimated value of Otedola's investment in First HoldCo has risen to about ₦1.47 trillion, reinforcing his status as the company's single largest investor.

Under the provisions of the Investments and Securities Act and the Securities and Exchange Commission's (SEC) rules on mergers and acquisitions, any shareholder who acquires 30 per cent or more of the voting shares in a publicly listed company is required to make a mandatory takeover offer to the remaining shareholders.

Despite the latest acquisition, Otedola's stake remains below the 30 per cent threshold that would trigger the mandatory takeover requirement.

The increased investment comes just weeks after First HoldCo became Nigeria's most valuable banking stock by market capitalisation, overtaking Zenith Bank following a sustained rally in its share price on the Nigerian Exchange.
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Ejikeme Augustine Eloka
WRITTEN BY

Ejikeme Augustine Eloka

Founder & Lead Publisher: A website developer and community builder with a heart for local development and communication. Augustine oversees the overall direction, editorial policy, and partnerships for Kwale Post.

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