FirstHoldCo Plc, parent company of First Bank of Nigeria, has unveiled plans to significantly expand its capital base as it prepares for its 14th Annual General Meeting scheduled for May 29, 2026.
The group is seeking approval to raise up to ₦253.099 billion through a mix of equity instruments. The long-term goal is to reach a ₦1 trillion paid-up capital base combining share capital and share premium.
The move aligns with Nigeria’s ongoing banking recapitalisation push led by the Central Bank of Nigeria (CBN), which requires stronger financial buffers for international banking operations.
FirstHoldCo said the capital raise may be executed through multiple channels.
“The capital raise transaction shall be implemented by one or more transactions, through the issuance of shares, by way of a public offering, private placement, rights issue, bonus issues, scrip dividend, or other equity instruments in the Nigerian or international capital markets…”
The company added that pricing and structure will depend on market conditions and regulatory approvals, with its board retaining final discretion.
The development comes shortly after First Bank met the CBN’s ₦500 billion minimum capital requirement for international banks, strengthening its license status.
Otedola Drives Trillion-Naira Banking Vision
Under Chairman Femi Otedola, FirstHoldCo is positioning itself as a key player in Nigeria’s banking consolidation era. He has consistently advocated raising capital thresholds to ₦1 trillion to strengthen financial resilience.
Otedola argues that stronger capital bases will improve governance and reduce systemic risks in the sector, especially as Nigeria targets a $1 trillion economy.
The group has already taken steps to reinforce its balance sheet through rights issues, private placements, and asset restructuring, including the divestment of FBNQuest.
A recent ₦45 billion private placement in March 2026 is part of this wider recapitalisation strategy, with the new ₦253 billion raise expected to bridge remaining gaps.
Profit Surge Strengthens Investor Confidence
FirstHoldCo’s expansion plans are backed by strong financial performance. In Q1 2026, the group recorded a 72% rise in profit before tax, reaching ₦321.1 billion.
Return on equity stood at 31.6%, the highest among Nigeria’s top tier banks, driven by improved lending efficiency and stronger risk controls.
The group also reported aggressive loan recovery efforts, with ₦19 billion recovered in early 2026 alone under new CEO Olusegun Alebiosu.
This performance follows a major ₦826 billion legacy debt cleanup in 2025, which helped reset its balance sheet for growth.
FirstHoldCo’s transformation is being driven by a refreshed leadership structure. Group Managing Director Wale Oyedeji and First Bank CEO Olusegun Alebiosu are leading the operational overhaul.
Alebiosu’s background in risk management has strengthened credit discipline and improved asset recovery across the group.
Meanwhile, governance reforms have been introduced across subsidiaries to improve accountability and operational efficiency.
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