Economy: Otedola applauds government, CBN for reforms as First HoldCo investment hits N320bn

*Femi Otedola, Chairman of First HoldCo Plc, asserts the banking group’s journey aligns closely with ‘the bold and visionary leadership of President Bola Ahmed Tinubu, who deserves credit for championing the tough but necessary reforms’ in the Nigerian economy

Isola Moses | ConsumerConnect

Affirming the bank’s operations align with the Nigerian Government’s policy objectives, Mr. Femi Otedola, Chairman of First HoldCo Plc, has hailed the current administration’s economic reforms and policies of the Central Bank Nigeria (CBN).

ConsumerConnect reports Otedola, who said this while speaking Thursday, May 22, 2025, at the 13th Annual General Meeting (AGM) of First HoldCo Plc, declared the government reforms are the key drivers behind his N320 billion personal investment in First Bank of Nigeria Limited.

The Chairman of First HoldCo also stated: “This journey aligns closely with the bold and visionary leadership of President Bola Ahmed Tinubu, who deserves credit for championing the tough but necessary reforms in our economy.”

He equally noted that FirstBank’s journey aligns with “the bold and visionary leadership” of President Bola Tinubu, stating, the Nigerian leader “deserves credit for championing the tough but necessary reforms in our economy.”

Besides, Otedola applauded Dr. Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), for his “courageous and pragmatic” policy reforms in the banking sector.

The businessman and investor further said: “I also commend the Governor of the Central Bank of Nigeria, Mr. Yemi Cardoso, for his courageous and pragmatic policy reforms.

“His actions are restoring credibility to the financial system and giving investors like me the confidence to commit long-term capital to this country.”

Cardoso’s actions, he said, have restored credibility to the financial system, and given investors the confidence to commit long-term capital to Nigeria, noted he.

Update on FirstBank’s recapitalisation

It was also gathered that this development followed the conclusion of FirstBank’s first phase of capital raising for a N150 billion Rights Issue March this year.

The bank had disclosed the first phase of its recapitalisation exercise recorded subscriptions totalling N187.6 billion, exceeding the initial target by over 25 percent.

Subsequently, First HoldCo, at the AGM, disclosed plans for a second phase of a capital raising exercise, targeting about N350 billion through private placement.

According to Otedola, the vision is to reposition the banking group, in which he started with acquiring a “significant” stake 2021.

He also said: “The intentional drive to rebuild and reposition FirstBank became emboldened by the acquisition of additional shares and assuming a leadership position to consolidate these objectives.

“This was not a gamble; it was a calculated, strategic move to rebuild FirstBank into a modern, well-governed, and highly profitable institution. And this doesn’t stop here.”

The boardroom technocrat stated: “By the time we conclude the next phase of capital raise, I will have personally invested over N320 billion, all in cash, without borrowing a single Naira.”

Appreciation for First HoldCo Board of Directors, Management

Otedola averred: “I must not also forget to recognise the immense contributions of the Board of Directors, and Management of the institution, who have keyed into this overall vision and are dogged in their efforts in ensuring that it is actualised.”

With a sense of fulfillment, the Chairman of First HoldCo said: “We have remained relevant and impactful for over 130 years as a result of the unwavering commitment of our esteemed 40 million-plus customers. I especially appreciate them.

“As an activist shareholder, my mandate is clear: curb excesses and wastages (no splurging on private jets, unchecked executive luxuries, etc), protect depositors’ funds, deliver strong returns to shareholders, and contribute meaningfully to the society/environment we serve and operate in.”

Otedola further assured other stakeholders of investing more as the bank prepares for the next phase of its capital raise, following the success and oversubscription of its recent offer.

He added: “I am very positive that we will raise the capital required well ahead of the Central Bank’s deadline.”

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