By Aisha Muhammad Magaji
Nigerian billionaire and business mogul Femi Otedola has further consolidated his position in FBN Holdings Plc (First HoldCo) with a fresh purchase of shares worth ₦2.01 billion, strengthening his influence in one of the country’s oldest and most strategic financial institutions.
The transaction, confirmed through regulatory filings with the Nigerian Exchange Limited (NGX), reflects Otedola’s sustained confidence in the long-term prospects of First Bank’s holding company, amid renewed competition in the financial sector.
Market data shows that Otedola acquired additional shares at an average price of ₦21.97 per unit, bringing his total investment value significantly higher and reaffirming his status as one of the largest individual shareholders in FBN Holdings.
Analysts note that the new stake could nudge his overall ownership closer to 10%, though precise figures remain subject to updates as filings continue.
“This purchase reinforces Otedola’s long-term commitment to strengthening First Bank as a dominant player in Nigeria’s financial services industry,” said Bismarck Rewane, economist and financial analyst.
Otedola first emerged as a major player in First Bank in 2021, when he controversially acquired a large block of shares to become the single largest shareholder at the time. His entry triggered boardroom changes and heightened investor interest in the stock, which had struggled with legacy issues, including non-performing loans.
Since then, his consistent buy-ins have been interpreted as a show of confidence in the bank’s recovery strategy, particularly under the leadership of new management that has been restructuring the institution’s loan portfolio, expanding digital banking, and stabilizing governance structures.
Following news of the fresh acquisition, FBN Holdings’ stock recorded improved activity on the NGX, with traders noting increased demand and speculative interest.
“Anytime Otedola moves, the market pays attention,” remarked a Lagos-based stockbroker. “His involvement has historically signaled strong growth expectations, and retail investors tend to follow suit.”
The bank’s market capitalization has also risen in recent months, buoyed by strong half-year results showing improved profit after tax and better cost-to-income ratios.
Otedola’s renewed interest in FBN Holdings comes at a time when Nigerian banks are facing multiple pressures, including rising operating costs from naira depreciation, higher cash reserve requirements from the Central Bank of Nigeria (CBN), and the need to meet Basel III capital adequacy standards.
His strategic positioning in First Bank is seen as part of a broader effort by Nigerian billionaires to consolidate stakes in key financial institutions, ensuring stronger influence in corporate governance and long-term decision-making.
Investor confidence and public image
Beyond the financial implications, Otedola’s moves are also viewed through the lens of public trust. As chairman of Geregu Power Plc and a prominent philanthropist, his business activities often shape market narratives and inspire confidence in Nigeria’s private sector resilience.
“By continuously increasing his stake, Otedola is not only investing in profitability but also projecting stability at a time when global investors are wary of frontier markets,” said Abiola Rasaq, capital markets consultant.
While neither Otedola nor FBN Holdings has issued a direct statement on the latest acquisition, market watchers believe the billionaire may eventually seek to consolidate a controlling or blocking minority stake, giving him more say in board appointments and strategic decisions.
For now, the move cements his role as a key shareholder in one of Nigeria’s most systemically important banks, ensuring that his influence will continue to shape the institution’s direction.
