Femi Otedola lifts stake in First Bank’s parent with $1.35 million share purchase

Nigerian billionaire Femi Otedola is deepening his influence in First Bank Holding Company (FirstHoldCo), the parent of Nigeria’s oldest bank, First Bank of Nigeria Limited. The businessman and philanthropist recently spent $1.35 million to acquire more shares in the lender, strengthening his position as its largest individual shareholder.

Regulatory filings published on the Nigerian Exchange (NGX) show that Otedola, who chairs both FirstHoldCo and Geregu Power, bought 64,878,668 ordinary shares on Sept. 23 at an average price of N31 ($0.021). The total purchase came to N2.01 billion ($1.35 million).

Otedola’s FirstHoldCo shares now worth $140 million

The breakdown of the transaction indicates that 25.6 million shares were acquired indirectly through his investment company, Calvados Global Services Limited, while 39.3 million shares were acquired directly. With this move, his holding in FirstHoldCo increased from 15.95 percent to 16.1 percent, or 6.74 billion shares.

At the current market price of N31 per share, FirstHoldCo boasts a market capitalization of N1.3 trillion ($867.7 million). Otedola’s stake alone is now worth an estimated N209 billion ($140.2 million), cementing his role as one of the most influential figures in African banking.

Otedola brings accountability to First Bank

First Bank, founded in 1894, has long been a cornerstone of Nigeria’s financial system. But years of mismanagement and risky lending weakened its reputation, leaving the lender in need of stronger leadership. Femi Otedola began building his stake in 2021, signaling confidence in the bank’s long-term recovery rather than a short-term play.

When Otedola became chairman in January 2024, he moved quickly to reset standards. One of his first actions was to ban executives from charging the bank for private jet use, a step meant to cut unnecessary costs and send a signal of accountability from the top. He has also pushed for tighter governance and stricter financial discipline.

Those measures are beginning to reflect in the numbers. In 2024, FirstHoldCo, the bank’s parent company, reported gross earnings of more than $660 million, with growth spread across interest income, service fees, and investment returns. The upward trend continued into 2025.

For the first half of the year, it posted gross earnings of N1.65 trillion ($1.07 billion), an 18 percent increase from the same period in 2024. Interest income rose to N1.43 trillion ($932.7 million), up from N947.7 billion ($617.6 million) a year earlier, while fee and commission income climbed to N168.57 billion ($109.9 million) from N129.92 billion ($84.74 million).

Otedola plans $200.9 million First Bank investment

Behind the stronger financial performance is Otedola’s deeper commitment. At the group’s 13th Annual General Meeting, he told shareholders that he planned to invest more than N320 billion ($200.9 million) of his personal funds into the bank without borrowing.

If completed, the move would mark the largest personal investment in Nigeria’s banking history. “This was not a gamble,” Otedola said at the meeting. “It was a calculated move to rebuild First Bank into a modern, well-governed, and highly profitable institution.”