Nigerian billionaire Femi Otedola has significantly increased his stake in First HoldCo Plc, acquiring shares worth N14.8 billion through his company, Calvados Global Services Limited. This substantial investment elevates his combined ownership to 17.56%, solidifying his position as one of the most influential shareholders in one of Nigeria’s largest financial institutions. The move comes amidst a period of strategic consolidation within the banking sector.

The recent transaction, executed on December 18, 2025, involved the purchase of 369,986,122 shares of First HoldCo at a price of N40.06 per share. This single acquisition, disclosed on the Nigerian Exchange, contributed significantly to the day’s total trading volume, which surged to 385.6 million shares, indicating heightened market interest in the banking group’s stock.

This latest acquisition builds upon Mr. Otedola’s consistent accumulation of First HoldCo shares over the past two years. Prior to this, his indirect holdings through various entities stood at 3,491,125,586 shares, representing 8.34% of the company. Additionally, he directly owned 3,251,346,245 shares, accounting for 7.76%, establishing him as a substantial shareholder above the regulatory 5% threshold.

Following the Calvados acquisition, Mr. Otedola’s indirect holdings are projected to increase to 3,861,111,708 shares, or 9.22% of the group. This strategic consolidation brings his total official ownership to approximately 17.56%, positioning him as a dominant figure capable of exerting considerable leverage in shaping the institution’s long-term strategic direction and operational outcomes.

Market observers note that Mr. Otedola’s escalating influence within First HoldCo has coincided with a more assertive internal posture, particularly concerning balance-sheet discipline. In recent months, First Bank, the group’s primary subsidiary, has intensified its loan recovery efforts, strengthened credit monitoring protocols, and demonstrated a reduced tolerance for long-standing non-performing exposures on its books.

While First Bank has not formally attributed these operational shifts to specific shareholder directives, the timing of these actions has attracted considerable attention among analysts. This pattern aligns with Mr. Otedola’s historical investment approach, where a phase of ownership consolidation typically precedes the implementation of tighter financial controls and a sharpened focus on asset quality and cash generation.

This significant ownership build-up unfolds against the backdrop of Nigeria’s banking sector approaching a critical recapitalisation deadline set by the central bank for early 2026. Financial institutions across the country are under immense pressure to bolster their capital buffers, enhance asset quality, and strategically position themselves for potential equity raises in what is anticipated to be a highly competitive market environment.

First HoldCo is understood to be nearing the completion of a private placement, a key component of its proactive capital-raising strategy ahead of the regulatory deadline. Sources familiar with the process indicate that this move is designed to strengthen the bank’s capital base early, thereby mitigating execution risks associated with a broader recapitalisation window once it officially opens.

Further reinforcing this strategic positioning, First HoldCo has recorded other notable insider-linked share transactions since the release of its nine-month financial results in late October 2025. These include a N2 billion acquisition by a company associated with First Bank chairman Mr. Ebenezer Olufowose and a N33.96 million purchase by an entity linked to Group Managing Director Mr. Adebowale Oyedeji.

Investor response to these developments has been remarkably swift and positive. First HoldCo shares have surged by 29% in December alone, contributing to impressive month-to-date gains of 37.36%. The stock, currently trading at N42.65, has rebounded robustly from a previous dip in November, driven by renewed demand, significant insider buying, and heightened expectations surrounding the impending recapitalisation.

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Keywords: Femi Otedola, First HoldCo, Nigerian banking sector, share acquisition, banking recapitalisation, N14.8 billion investment, balance sheet discipline, substantial shareholder