First HoldCo Clears Air on Share Ownership, Dismisses Otedola and FG Involvement in Off-Market Deal
First HoldCo Plc, one of Nigeria’s leading financial holding companies and owners of First Bank, has issued an official clarification debunking speculation surrounding a recent off-market share transaction, stating categorically that neither its Chairman, Mr. Femi Otedola, nor the Federal Government was involved in the deal.
The company made the disclosure in a formal notice to the Nigerian Exchange Limited (NGX) following widespread media reports and investor speculation about the ownership and control of shares exchanged in the said transaction.
“We affirm that the Chairman, Mr. Femi Otedola, did not purchase the shares in question, nor did the Federal Government or any of its agencies,” the company said in its statement.
Who Sold, Who Bought: Facts Behind the Off-Market Deal
According to First HoldCo, the shares were sold by Barbican Capital Ltd. and its affiliates, as well as Leadway Group and its affiliates. The sole acquirer in the off-market transaction was identified as RC Investment Management Ltd., a financial investment firm.
This clarification puts to rest earlier media speculation suggesting that Otedola, a prominent Nigerian billionaire and investor in First Bank (a subsidiary of First HoldCo), had further increased his stake — a move that might have triggered significant governance or market implications.
Why It Matters: Governance, Market Confidence and Institutional Transparency
The clarification comes amid heightened sensitivity to shareholding changes in financial holding companies, especially those with significant public interest like First HoldCo — parent of First Bank of Nigeria Ltd. and other financial services subsidiaries.
Investors, regulators, and analysts closely monitor shifts in share ownership due to potential impacts on control, board structure, strategic direction, and even compliance with CBN’s corporate governance framework for bank holding companies.
By publicly naming both the sellers and the buyer, First HoldCo has moved to quell investor anxiety, uphold market integrity, and reinforce shareholder transparency, which is critical in maintaining public trust and corporate stability.
BRANDECONOMY INSIGHT: Shareholder Influence in the Age of Financial Repositioning
This episode underscores the rising importance of clear communication in the age of financial conglomerates and strategic stake-building. As more investors look to strengthen positions in systemically important financial institutions, accurate, timely disclosures remain essential to avoid misinformation that could distort the market.
With Femi Otedola already holding a significant position and serving as Chairman of the Board, market watchers remain alert to any further stake movements. However, as First HoldCo has now confirmed, this latest transaction does not alter the company’s governance structure or signal a change in control.
Bottom Line:
First HoldCo’s swift response to speculation underscores its commitment to transparency and regulatory compliance. While shareholder movements in large-cap financial institutions often fuel media frenzy, clarity and official disclosure remain the bedrock of investor confidence.
