First Bank Investors Lost N12.56 billion, As Femi Otedola Take Out N5.76 billion

First Bank of Nigeria (FBN) largest shareholder, Femi Otedola, has sold part of his N30 billion worth of investment in the company, a trading document released by the financial institution on Tuesday has disclosed.

Otedola sold 517.93 million shares, in four trading series; 170 million shares, 53 million, 120 million, and 174.93 million, on Monday. The value of the shares offloaded by the billionaire is estimated at N5.76 billion.

Prior to the sale, Otedola held about 2.71 billion shares in First Bank, which is now down to 2.19 billion, and valued at N23.97 billion, when pegged to First Bank’s current market price of N10.9kobo per share.

Recall that the billionaire became a First Bank shareholder in second half of last year after the lender reported that Otedola now owns 5.07% ownership stake in the firm by October ending.

At the time, FBN stated that Tunde Hassan-Odukale was the majority shareholder in the company, placing his total stake at 5.36%, however, First Bank corrected itself in its Full Year Financial Statements for the period ended December 31, 2021, stating Otedola holds 7.56%, while that of Hassan-Odukale is 4.31%.

With the sale of 517.93 million shares, Otedola now holds 5.24% ownership stake in First Bank.

Meanwhile, the sell off by the billionaire is expected to weigh on the share of First Bank, considering the value of the stock fell to N10.9kobo per share, from the N11.25kobo a share sold for at the close of trading on Monday.

The dip wiped off N12.56 billion from First Bank’s market valuation, which dwindled to N391.25 billion, from N403.82 billion.