Nigeria’s oldest financial institution, First HoldCo Plc, has commenced a N1.4 trillion ($1 billion) share offering after securing approval from the Central Bank of Nigeria (CBN), in a move aimed at strengthening its banking capital base and funding expansion into new financial services businesses.
- +FirstHoldCo begins N1.4tn share sale after CBN approval
The offer, which opened on Monday, involves the sale of 10.4 billion ordinary shares previously held by RC Investment Management Ltd., the special-purpose vehicle that acquired the stake as a bridge shareholder during the lender’s ownership restructuring last year.
The offer, which opened on Monday, involves the sale of 10.4 billion ordinary shares previously held by RC Investment Management Ltd., the special-purpose vehicle that acquired the stake as a bridge shareholder during the lender’s ownership restructuring last year.
Olusegun Alebiosu, chief executive officer of First Bank, the group’s flagship banking subsidiary, said demand for the shares has been overwhelming and the offer could close well ahead of schedule.
“The sale is starting today — the reality here is that I am not sure it will stay more than one week based on the pressure we are getting,” Alebiosu said in an interview.
The transaction marks the final stage of a corporate restructuring that began in 2025 after approximately 25 percent of First HoldCo’s shares were transferred from Barbican Capital Ltd. to RC Investment Management following a prolonged ownership and boardroom dispute.
At the time, First HoldCo had disclosed that RC Investment Management would temporarily hold the shares pending regulatory approvals, after which they would be offered to the investing public.
According to Alebiosu, proceeds from the capital raise will be used primarily to strengthen the capital position of First Bank in line with the CBN’s recapitalisation programme while also supporting the holding company’s diversification strategy.
The group plans to broaden its footprint beyond commercial banking by investing in an insurance underwriting business and expanding its fintech operations, positioning itself to compete more aggressively across Nigeria’s rapidly evolving financial services sector.
Investor appetite for the offer appeared strong, reflecting growing confidence in the lender’s transformation story.
Shares of First HoldCo climbed as much as 5.9 percent to a record high during trading on Monday before trimming gains to trade 3.1 percent higher at N133.60 by early afternoon in Lagos.
The stock has rallied more than fourfold since July 2025, when Barbican Capital’s stake was transferred to RC Investment Management, making it one of the Nigerian Exchange’s best-performing banking stocks over the past year.
The share sale comes as Nigerian banks race to strengthen their balance sheets ahead of the CBN’s new minimum capital requirements, with lenders tapping rights issues, public offers and private placements to raise fresh equity.
If fully subscribed, the N1.4 trillion offering would rank among the largest equity capital raises ever undertaken by a Nigerian financial institution, further cementing First HoldCo’s position as one of the country’s most valuable listed banking groups.
