Prime Business Africa
The investment value of First HoldCo shareholders declined on Wednesday after Femi Otedola, the chairman of the company, announced his interest in acquiring a stake in Dangote refinery.
According to the analysis of First HoldCo’s share performance on Wednesday, the share price decreased by N2.95 kobo to N70, from the N72.95 kobo reported on Tuesday.
Join our WhatsApp ChannelThe decrease in share price resulted in a 4.04 percent decline in the shareholders’ investment value, representing a combined loss of N131.13 billion.
Otedola, who holds 8.05 billion shares — comprising 3.25 billion direct shares and 4.80 billion indirect shares — in First HoldCo, accounted for 18.12 percent of the loss recorded by shareholders.
Prime Business Africa gathered that Otedola lost N23,76 billion from his investment in First HoldCo, which was N587.63 billion on Tuesday, but dropped to N563.87 billion on Wednesday.
The decline in his investment and that of other First HoldCo shareholders comes as he eyes a $100 million worth of stake in Dangote refinery, which is expected to launch an initial public offering (IPO) in September.
According to Otedola’s previous investment activities, the businessman sells shares in a company to buy a stake in another, a move that might be repeated to acquire a stake in Dangote refinery.
In 2025, Otedola sold 1.16 million Geregu shares in September, 4.29 million shares in October, and 4.29 million shares in November to take out N14.89 billion from his investment in Geregu, a power-generating company.
Prime Business Africa gathered that in December of the same year, Otedola used almost the same amount to acquire more shares in First HoldCo, as he bought 369.98 million shares worth N14.82 billion on December 18.
Almost two months later, Otedola sold his remaining shares in Geregu, worth N2.17 trillion.
With the businessman’s record of selling off substantial shares in a company to buy shares in another, his announcement of eyeing a stake in Dangote refinery might be sending a signal to the stock market.
Prior to his announcement, First HoldCo’s share was on a rebound, after declining by 11.39 percent from this year’s all-time high price of N79 per share on May 12 to N70 on May 15, before recovering to N70.3 kobo on May 18 and N72.95 kobo on May 19.
However, following the announcement, the rebound was halted, with over 15.95 million shares of First HoldCo trading at a lower price of N70 in the Nigerian stock market on Wednesday, compared to the previous day’s 13.53 million shares exchanged at N72.95 kobo.
For press releases, tip-offs, and corporate information, call 08149575257 (hotline), email: [email protected] and [email protected]
Prime Business Africa is a business, economy and policy news platform founded in 2021 by veteran journalist and media scholar, Dr Marcel Mbamalu, after he left The Guardian as Editor.
Dr Mbamalu, who serves as Founder and Publisher, set up Prime Business Africa to deliver sharp, data-driven reporting on Nigeria’s markets, trade, investment, and governance trends for decision-makers, entrepreneurs, and policy leaders.
He also writes The Bottom Line, a backpage column for Punch Newspaper every Thursday.
Under his leadership, Prime Business Africa combines deep newsroom experience with a focus on accountability journalism, aiming to bridge information gaps between Africa’s private sector and the global economy.
