Billionaire businessman strengthens grip on Nigeria’s most valuable listed bank with fresh acquisition of 1.77 billion shares……
Chairman of First HoldCo, Femi Otedola, has further increased his ownership in the financial services group after acquiring an additional 1.77 billion shares through his investment company, Calvados Global Services Limited.
A regulatory filing on the Nigerian Exchange (NGX) showed that the transaction, completed on Thursday, was valued at N222.20 billion, making it one of the largest share purchases on the local bourse this year.
The latest acquisition raises Otedola’s total holdings in First HoldCo from 9.99 billion shares to 11.77 billion shares, increasing his equity stake from 21.96 per cent to 25.88 per cent.
It is the billionaire investor’s second major purchase in the company in July. On July 22, he acquired 706.13 million shares valued at N77.58 billion, further consolidating his position as the institution’s largest shareholder.
Following the latest transaction, Otedola’s investment in First HoldCo is estimated at N1.47 trillion, the largest single holding in the financial institution.
The increased stake also brings him closer to the regulatory threshold that could trigger a mandatory takeover offer. Under the Investments and Securities Act and the Securities and Exchange Commission (SEC) rules on mergers and acquisitions, any shareholder that acquires 30 per cent or more of the voting shares in a publicly listed company is required to make an offer to purchase the remaining shares held by other investors.
The latest investment comes just weeks after First HoldCo surpassed Zenith Bank to become Nigeria’s most valuable listed banking group, following a sustained rally in its share price on the Nigerian Exchange.
