A company associated with Ebenezer Olufowose, the chairman of First Bank of Nigeria Limited, has completed a major purchase of shares in the bank’s parent company, First Holdco Plc.
The transaction saw First Ally Capital Limited acquire 64,516,129 shares of First Holdco on November 25 through the Nigerian Exchange Limited (NGX), paying N31.05 per share. The share purchase, classified as a dealing by insiders, was officially reported by First Holdco Plc. This substantial acquisition, which took place on a day when the stock closed at N31 following the exchange of over 93 million shares, underscores a notable vote of confidence in the financial group’s future.
First Holdco Plc, a significant player listed on the NGX’s Premium Board, boasts 41.877 billion shares outstanding and closed the day with a market capitalisation of N1.298 trillion. The share price of N31 sits in the middle of its recent 52-week trading range, which saw a high of N37.5 and a low of N23.55.
This large-scale insider transaction comes at a time when the First Holdco group is demonstrating robust financial health. Its main subsidiary, First Bank of Nigeria Limited, recently executed the successful, early redemption of its $350 million Eurobond.
The Eurobond, which had a maturity date of October 27, 2025, was originally issued in 2020 with an 8.625 percent coupon rate. Its initial issuance was significantly oversubscribed by 70 percent, reflecting the strong reputation of FirstBank and sustained confidence from international investors regarding the institution’s stability and governance. The proceeds were strategically deployed to back key customer projects and major national initiatives, affirming the bank’s vital role in Nigeria’s economic development.
The timely redemption is a testament to the bank’s disciplined approach to liability management, highlighting its strong foreign currency liquidity, prudent risk control, and sound balance sheet. The group has now successfully redeemed a total of $1.275 billion across four Eurobond maturities since 2007, solidifying its standing as a consistent and credible issuer in the global capital markets. The insider share purchase further reinforces the positive outlook for the company’s financial trajectory and the broader Nigerian banking sector.
