Prime Business AfricaFemi Otedola, the chairman of First HoldCo, the parent company of First Bank, and the shareholders of the group, lost over N60.72 billion on Friday, July 18, a day after reports emerged that Oba Otudeko, a major investor, has exited the company.
Prime Business Africa had reported on Thursday, July 17, that Otudeko has sold off his shares in First HoldCo, three years after acquiring 4.7 billion shares of FBN Holdings – now known as First HoldCo – through Honeywell Group.
Join our WhatsApp ChannelThe shares, held through Barbican Capital Limited, were part of the 10.43 billion shares, worth N323.45 billion, traded by the businessman and Tunde Odukale, the group managing director (GMD) of Leadway Assurance, on Wednesday, July 16.
According to reports, the shares were sold at N31 per share to First Securities Ltd, through CardinalStone Securities, Meristem Stockbrokers, Renaissance Capital, Regency Asset Management, Stanbic IBTC Stockbrokers, United Capital Securities, and First Securities Ltd, which acted as both buyer and seller in select trades.
A day after the reports, sentiments over First HoldCo’s shares turned bearish, leading to the company’s share price dropping by N1.45 kobo to N33.95 kobo per share from N35.4 kobo.
Consequently, the investments of Otedola and other shareholders of First HoldCo decreased by 4.09 percent, leading to a combined loss of N60.72 billion within five hours of trading.
It also resulted in First HoldCo’s market valuation dropping to N1.42 trillion after trading closed on Friday, from N1.48 trillion reported at the end of stock market activities the previous day.
Prime Business Africa gathered that Otedola accounted for N6,13 billion out of the N60.72 billion loss, and the value of his investment in First HoldCo dropped from N149.87 billion to N143.73 billion during the period under review.
As of March 2025, Otedola holds a total share of 4.23 billion in First HoldCo, split into 1.68 billion direct shares and 2.54 billion indirect shares.
Note that the shares sold by Otudeko and Odukale reportedly went to Otedola, however, First HoldCo has not confirmed.
The company has, however, confirmed on Friday that Otudeko sold 6.31 billion shares held through Barbican Capital Limited, at a value of N195.73 billion.
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