Nigeria’s National Pension Commission (PenCom) has dismissed recent claims by FBN Holdings that Tunde Hassan-Odukale is the largest shareholder in the country’s oldest financial services group, First Bank Nigeria Holdings, ahead of Nigerian billionaire businessman Femi Otedola.
According to a press statement seen by Billionaires.Africa, PenCom disclosed that a fraction of the 5.36-percent stake in FBN Holdings attributed to Hassan-Odukale, an insurance mogul and the managing director of Leadway Assurance Company Limited, belongs to Retirement Savings Account (RSA) holders, and not to a third party as FBN Holdings had previously claimed.
PenCom’s clarification follows a disclosure by FBN Holdings on Oct. 8 that the Nigerian businessman holds a 5.36-percent stake in FBN Holdings, as a 2.11-percent shareholding attributed to Leadway Pensure PFA were counted in his favor.
The stakes were ascribed to him due to his influence and position in Leadway Assurance Company.
With the clarification, Hassan-Odukale’s stake in the bank is likely to amount to less than four percent. This gives Otedola, the former owner of Forte Oil (now Ardova Plc) the status of the single largest shareholder in FBN Holdings, with a 5.07-percent stake in the group.
FBN Holdings wholly owns First Bank, Nigeria’s largest commercial bank.
The recent development puts Otedola in a comfortable position – he could now demand seats on the group’s board, or even his appointment as chairman, as he holds the most voting power in the bank. Otedola has been silent about his plans since his stake in the bank was declared weeks ago.
As of the closing of the exchange yesterday, Nov. 19, shares in FBN Holdings were worth N11.5 ($0.02798), 43-basis points higher than its opening price for the day.
At the current share price, Otedola’s 5.07-percent stake in the financial services group is valued at N20.91 billion ($50.91 million).
