The Federal Government of Nigeria and prominent businessman Femi Otedola, Chairman of FirstHoldCo Plc, have formally denied any involvement in the recent acquisition of approximately 25% of FirstHoldCo’s shares, valued at over N323 billion.
The statements follow speculative media reports alleging that the transaction was facilitated through a federal government-backed Special Purpose Vehicle (SPV).
Multiple social media and online platforms (excluding Nairametrics) reported that a trustee acting on behalf of the federal government under the supervision of the Attorney General’s office and the Central Bank of Nigeria (CBN) had facilitated the share acquisition.
These claims suggested that the shares were temporarily held by the trustee pending further strategic decisions regarding FirstBank’s recapitalization plans to meet updated CBN requirements.
Government Responds, Discredits Ownership Rumors
In a strong rebuttal issued through a public statement, Kamarudeen Ogundele, Special Adviser on Communication and Publicity in the Office of the Attorney General of the Federation and Minister of Justice, dismissed the reports as “false, misleading, resentful and potentially harmful.”
“The Office of the Attorney General of the Federation and Minister of Justice debunks this falsehood to prevent confusion or misconceptions about FirstHoldCo’s ownership and governance,” Ogundele said.
He clarified that Attorney General Lateef Fagbemi and his office were neither part of nor privy to any share purchase arrangement.
The statement further noted that while the government was aware of a trustee structure approved by the CBN, it had no direct affiliation, adding that RENCAP was designated by the CBN as an independent third-party overseer of this trustee arrangement.
As reported earlier, Nairametrics understands that RC Investments Ltd, the SPV linked to Renaissance Capital, was the actual acquirer.
FirstHoldCo Clarifies Transaction Parties
FirstHoldCo, in a separate statement signed by Company Secretary Adewale Arogundade, also distanced both its Chairman and the federal government from the high-profile deal.
“The Chairman of FirstHoldCo, Femi Otedola, did not purchase any of the shares in question, nor did the Federal Government of Nigeria or any of its agencies acquire the shares in trust,” the statement read.
According to the company, the sellers were Barbican Capital Limited & affiliates linked to longstanding shareholder Oba Otudeko, and Leadway Group & affiliates. The buyer was confirmed as RC Investment Management Ltd, a Special Purpose Vehicle associated with Renaissance Capital.
Transaction Details and Market Reaction
The block trade was executed off-market on the Nigerian Exchange (NGX) on July 16, 2025, involving 10.43 billion shares at N31 per share across 17 negotiated deals, culminating in a transaction value of N323.4 billion. This deal represents approximately 25% of the total outstanding shares of FirstHoldCo Plc.
- Following the announcement, FirstHoldCo’s share price surged to N32.20 per share, reflecting over a 20% week-on-week gain, as investors reacted to perceived institutional interest and potential governance or strategic shifts.
- The transaction officially marks the exit of Oba Otudeko, a long-time stakeholder and former key figure within FirstHoldCo and its predecessor entities.
- Strategic Implications and Future Outlook
- The acquisition, described as one of the largest off-market trades in NGX history, has fueled speculation about possible boardroom changes, new capital-raising initiatives, or shifts in operational strategy.
Analysts believe this large-scale transaction could signal renewed institutional confidence in FirstHoldCo or a restructuring effort aimed at realigning with CBN’s new capital adequacy framework.
However, both FirstHoldCo and federal officials have emphasized the importance of transparency and factual reporting, warning against unverified narratives that could impact shareholder trust and market integrity.
