Key Points
- FirstHoldCo raised $125 million in an oversubscribed rights issue, marking the first phase of its capital expansion under Femi Otedola’s leadership.
- FirstHoldCo’s gross earnings surged to $2.17 billion in 2024, with total assets growing to $17.46 billion, reflecting Otedola’s transformative leadership.
- FirstBank broke ground on a 44-story headquarters in Eko Atlantic, symbolizing its expansion and sustainability goals under Otedola’s strategic vision.
Under the leadership of billionaire businessman and philanthropist Femi Otedola, FirstHoldCo, the parent company of Nigeria’s oldest bank, First Bank of Nigeria Limited, has secured $125 million through an oversubscribed rights issue. This marks the first phase of its capital-raising efforts, strengthening the bank’s financial position and supporting its long-term growth. Otedola, one of Africa’s billionaires since 2009, played a key role in guiding the group toward this milestone, reinforcing his influence in Nigeria’s financial sector.
FirstHoldCo’s rights issue exceeds target
Originally set at N150 billion ($100 million), the rights issue drew overwhelming investor confidence, leading to a 25 percent oversubscription and pushing total subscriptions to N187.6 billion ($125 million). Group Managing Director Adebowale Oyedeji credited the strong response to shareholders' trust in FirstHoldCo’s vision. He noted that this success sets the stage for the next phase—a private placement of N350 billion ($230 million) aimed at further strengthening the bank’s position.
Oyedeji also expressed gratitude to the Central Bank of Nigeria and the Securities and Exchange Commission for ensuring a smooth and transparent process. He emphasized that the additional capital will help the group expand its market reach, invest in innovation, and drive sustainable growth at FirstBank, its flagship subsidiary. Calling the capital raise a major milestone, he said it will create more value for shareholders.
Otedola shared the same sentiment, thanking shareholders for their strong participation. “On behalf of the Board of Directors, I extend my heartfelt gratitude to our shareholders and stakeholders who made this rights issue a success. Your belief in FirstHoldCo and its future is deeply appreciated,” he said. He also acknowledged regulators for their guidance and support in ensuring a seamless process.
With shareholder approval secured at the company’s 12th Annual General Meeting on November 14, 2024, the second phase of the capital raise will soon begin, further strengthening FirstHoldCo’s financial foundation.
Otedola’s leadership transforms FirstHoldCo’s future
With a legacy spanning 130 years, FirstHoldCo has been a pillar of Nigeria’s financial sector. Under Otedola’s leadership, it has solidified its position as one of Africa’s largest financial services groups. Holding a 13.16 percent stake, he has been instrumental in navigating the institution through financial and operational challenges.
When Otedola began acquiring shares in FirstHoldCo in 2021, many saw it as another calculated move by one of Nigeria’s sharpest investors. But what followed was a complete transformation of the company—one that extends beyond financial gains. As chairman, he has redefined FirstHoldCo’s strategy, leading it into a new era of expansion and influence in the African banking sector.
That transformation is evident in the company’s latest financial results. Gross earnings surged from N1.56 trillion ($1.02 billion) in 2023 to N3.33 trillion ($2.17 billion) in 2024. Its balance sheet has grown significantly, with total assets reaching $17.46 billion, up from $11.14 billion at the end of 2023. Equity has climbed from N1.72 trillion ($1.13 billion) to N2.54 trillion ($1.67 billion), while retained earnings more than doubled to N1.3 trillion ($855 million), compared to N588.9 billion ($387.4 million) the previous year.
FirstHoldCo breaks ground on 44-story tower
Earlier this month, Otedola unveiled another milestone in FirstBank’s evolution: the groundbreaking of its new, state-of-the-art headquarters in Eko Atlantic City, Lagos. The ceremony was attended by Vice President Kashim Shettima, Africa’s richest man Aliko Dangote, Lagos State Governor Babajide Sanwo-Olu, Ogun State Governor Dapo Abiodun, Ondo State Governor Lucky Aiyedatiwa, and former Senate President Bukola Saraki
Also present were prominent business leaders, including Gilbert and Ronald Chagoury of Chagoury Group, Pacific Holdings founder Deji Adeleke, Folawiyo Group managing director Tunde Folawiyo, and May & Baker Nigeria Plc chair Daisy Danjuma.
Standing at 252 meters, the 44-story tower is more than just an office—it is a symbol of FirstBank’s ambition and future. Covering 115,000 square meters, the eco-friendly headquarters will lower operational costs while reinforcing the bank’s commitment to sustainability. More than reshaping the Lagos skyline, it sets a new benchmark for banking infrastructure across Africa.
