Otedola buys out Otudeko, holds 36.7% of First HoldCo

From Chukwuma Umeorah

Femi Otedola, Chairman of First Bank Holding Company (First HoldCo), has acquired a significant additional stake in the group, increasing his ownership to approximately 36.7 per cent. This follows the acquisition of 10.43 billion shares, amounting to about 24.9 per cent of the company’s total outstanding shares, in an off-market transaction executed on Tuesday, July 16, 2025.

The N323.45 billion deal, executed through 17 negotiated transactions at a fixed price of N31.00 per share, marks the largest off-market deal ever recorded on the Nigerian Exchange Limited (NGX). First HoldCo’s share price surged by 9.9 per cent on the day of the transaction, closing at N32.20.

Although no official statements have been issued, sources familiar with the matter confirmed that the shares sold belonged to entities linked to Oba Otudeko, former chairman of First Bank of Nigeria. Otudeko, who led the bank’s board between 1997 and 2021, was the confirmed holder of an 8.65 per cent stake and was also linked to another 4.7 per cent stake acquired in July 2023 through Honeywell Group.

The trade is purported to have cleared the path for Otedola to consolidate his position in the group, effectively buying out other major shareholders, including Otudeko. With the transaction, it is believed that the curtain has been drawn on Otudeko’s era at First Bank.

Based on his confirmed 8.65 per cent stake, Otudeko is set to exit with a payout exceeding N112 billion.

Another shareholder who may have been bought out is Tunde Hassan-Odukale, who held a 5.36 per cent stake in First HoldCo as of 2021. Hassan-Odukale is a former chairman of the board of First Bank.

Data from the Nigerian Exchange shows that First Securities Ltd was the buyer in all 17 negotiated trades. The selling brokers included CardinalStone Securities, Meristem Stockbrokers, Renaissance Capital, Regency Asset Management, Stanbic IBTC Stockbrokers, United Capital Securities, and First Securities Ltd itself, acting as both buyer and seller in some of the deals.

With this acquisition, Otedola becomes the largest strategic shareholder of a publicly listed Nigerian banking entity. He is followed by Neemtree Limited, owned by Kesington Adebutu, which holds a 28 per cent stake in Wema Bank.