Follow Us on Google
By Uche Usim
First HoldCo Plc has successfully completed its N150 billion rights issue with an oversubscription of 25%, raising N187.6 billion in the first phase of its capital-raising exercise and attracting a total of N187.6 billion.
The robust market response highlights the confidence shareholders and investors have in the Group’s strategic vision and long-term growth potential.
The successful completion of this phase now sets the stage for the next step in First HoldCo’s recapitalization efforts—a private placement of up to N350 billion, aligning with the approval granted by shareholders at the company’s 12th Annual General Meeting in November 2024.
Adebowale Oyedeji, Group Managing Director of First HoldCo Plc, expressed delight at the outcome of the Rights Issue, emphasizing that the overwhelming support reflects investors’ trust in the Group’s vision and strategic direction.
“We are pleased to announce the successful completion of the N150 billion Rights Issue, which was oversubscribed by over 25%, raising N187.6 billion in this first phase of our capital-raising exercise. The overwhelming response from our shareholders is a testament to the trust and confidence placed in the First HoldCo Group and our vision for the future,” Oyedeji stated.
He highlighted that the capital raised will be instrumental in strengthening First HoldCo’s position in the market, enhancing innovation, and driving sustainable growth, particularly in FirstBank, its flagship subsidiary.
“This capital raise will empower us to further solidify our market leadership, invest in cutting-edge innovation, and expand our reach while ensuring that FirstBank continues to play a leading role in Nigeria’s financial ecosystem,” he added.
Oyedeji also acknowledged the role of regulatory bodies in ensuring the integrity of the process, stating, “We extend our profound appreciation to the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) for their unwavering support in maintaining transparency and stability within the capital market. Their guidance was invaluable in ensuring a seamless process.”
Also speaking on the achievement, Femi Otedola, the Chairman of First HoldCo Plc, described the oversubscription as a defining moment that underscores investors’ belief in the company’s future.
“On behalf of the Board of Directors, I extend my heartfelt gratitude to all our shareholders and stakeholders who participated in this Rights Issue. The strong subscription level is a clear reflection of the collective belief in First HoldCo and its long-term growth strategy,” he said.
Otedola emphasized that the overwhelming participation highlights the trust investors have in the Group’s ability to deliver sustained value.
“We deeply appreciate this continued support and partnership, which enables us to embark on this next phase of growth with confidence. This milestone is not just about raising capital; it is about strengthening our foundation for long-term success and ensuring we remain at the forefront of Nigeria’s financial services sector,” he added.
The Chairman also lauded the regulatory bodies for ensuring a transparent process, stating, “We acknowledge the Central Bank of Nigeria and the Securities and Exchange Commission for their oversight and guidance, ensuring full compliance with applicable regulations.”
With the successful completion of the Rights Issue, First HoldCo is now set to move forward with the second phase of its capital-raising plan, a private placement of up to N350 billion.
Otedola reaffirmed the company’s commitment to executing this phase efficiently, stating, “In line with the overwhelming approval granted by shareholders at our 12th Annual General Meeting, the second phase of capital-raising, involving a private placement of up to N350 billion, will commence in earnest. We look forward to the continued support of all stakeholders as we work towards strengthening our Group and delivering long-term value.”
The capital raised through these initiatives will be strategically deployed to enhance First HoldCo’s financial strength, drive expansion, and accelerate technological advancements, reinforcing its position as a leading financial institution in Nigeria and beyond.
With shareholders demonstrating immense confidence in the Group’s trajectory, First HoldCo is poised for an exciting phase of growth, innovation, and market leadership.
