FirstHoldCo completes N45bn private placement at N44.06 per share, bolsters FirstBank capital position

FIRST HoldCo Plc has announced the successful completion of the N45 billion second tranche of its ongoing N350 billion private placement programme after obtaining all necessary approvals from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC).

The fresh capital will be injected into First Bank of Nigeria Limited (FirstBank), the group’s flagship subsidiary, as part of its capital restoration initiative and broader efforts to strengthen its balance sheet. The latest injection is expected to improve the bank’s financial resilience, increase lending capacity, and reinforce its ability to maintain regulatory compliance and long-term competitiveness.

Prior to this tranche, FirstHoldCo had already injected about N270 billion into FirstBank, demonstrating steady progress toward meeting the CBN’s N500 billion minimum capital requirement ahead of the March 31, 2026 deadline.

The additional funds are also expected to support FirstBank’s strategic growth plans by enhancing its capacity to expand quality lending, strengthen digital and transaction banking services, deepen customer acquisition, and capture opportunities across corporate, commercial, retail, and cross-border banking segments while maintaining prudent capital management.

According to the company, the completion of the latest tranche highlights continued investor confidence in FirstHoldCo’s franchise strength, earnings quality, governance framework, and long-term strategy. Following the second tranche of the private placement approved at the group’s 13th Annual General Meeting held on May 22, 2025, FirstHoldCo said it remains focused on raising the outstanding N221 billion.

The company added that shareholders also approved a plan at its 14th AGM on May 29, 2026, to increase its paid-up share capital to N1 trillion.

READ ALSO: FirstHoldCo completes N45bn private placement at N44.06 per share, bolsters FirstBank capital position

The capital raise comes amid strong financial performance. In Q1 of 2026, FirstHoldCo reported a 72.2 percent year-on-year increase in profit before tax to N321 billion, while gross earnings rose 27 percent, supported by growth in both interest income and non-interest revenue streams.

The group also maintained a strong funding profile, with customer deposits standing at N18.4 trillion and FirstBank Nigeria’s current and savings account (CASA) ratio at 93.8 percent, reflecting robust liquidity and sustained customer confidence.

Commenting on the development, Group Chairman, Mr Femi Otedola, thanked shareholders for their continued support, noting that their backing of both the capital raise and the resolution to increase paid-up capital to N1 trillion demonstrates confidence in the group’s business model and future prospects. He said the move would help preserve financial stability, improve balance sheet quality, and create long-term value.

Group Managing Director, Mr Wale Oyedeji, described the successful completion of the N45 billion tranche as a strong endorsement of FirstHoldCo’s strategic direction and long-term value proposition. He said the capital injection would further strengthen FirstBank’s capital base, enhance its balance sheet capacity, and support growth across key business segments.

Oyedeji added that the group would continue to focus on disciplined capital management, operational efficiency, and maximising earnings potential as it executes FirstBank’s capital restoration programme. According to him, the measures are designed to strengthen the group’s competitive position, boost market confidence, and prepare it for the next phase of growth.

FirstHoldCo reiterated its commitment to strong corporate governance, prudent risk management, disciplined capital allocation, and consistent execution of its strategic objectives as it seeks to consolidate its position among Africa’s leading financial services groups.