Femi Otedola, Chairman of First Bank of Nigeria (FBN) Holdings, has increased his stake in the financial institution to 13.15%, solidifying his position as the company’s largest shareholder.
Otedola’s expanded stake follows the acquisition of 534,094,407 additional shares between September 23 and 25, valued at N16.02 billion.
This purchase increased his interest in FBN Holdings from 11.67% (4,187,602,704 shares) to 13.15% (4,721,697,111 shares), raising his total holdings to N136.9 billion as of Wednesday.
The acquisition further widened the gap between Otedola and Barbican Capital Limited, the second-largest shareholder, which holds an 8.67% stake.
Barbican Capital, owned by Oba Otudeko, has contested the exact number of shares it holds in FBN Holdings, claiming to have acquired 5,386,397,202 units representing 15.1% of the company. In a lawsuit against FBN Holdings, Barbican Capital maintains that its share acquisitions were accurately recorded by the Central Securities Clearing System (CSCS) and Meristem Registrar, the company’s appointed registrars.
However, FBN Holdings stated that Barbican Capital notified the institution in July 2023 that it had acquired 4,770,269,843 shares, with the Central Bank of Nigeria (CBN) only verifying 3,110,400,619 shares due to incomplete documentation provided by Barbican Capital.
FBN Holdings further cited CBN guidelines mandating approval for any shareholder acquiring over 5% of a financial holding company’s shares. This regulatory oversight is part of the broader framework for the governance of financial institutions in Nigeria.
Otedola’s increased stake comes after regaining his position as the largest shareholder in June, following a brief period in which Barbican Capital overtook him.
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