First HoldCo to seek shareholders’ approval for N253 billion capital raise at 14th AGM

First HoldCo to seek shareholders’ approval for N253 billion capital raise at 14th AGM

First HoldCo Plc, the parent company of First Bank of Nigeria will be seeking shareholders’ approval to raise up to N253.099 billion in fresh capital, as the group pursues an audacious target of reaching a N1 trillion paid-up capital base comprising share capital and share premium.

The fundraising plan is contained in the notice for the group’s 14th Annual General Meeting (AGM), scheduled to hold on May 29, 2026, where shareholders will consider resolutions covering equity capital raising and broader balance sheet fortification.

According to the notice filed with the Nigerian Exchange (NGX), the capital raise will be implemented through one or more transactions and in such tranches, series, or proportions as may be determined by the Board of Directors, subject to obtaining approvals from relevant regulatory authorities.

According to the AGM notice, the capital raise will be executed through a variety of instruments and issuance methods, reflecting a deliberately flexible approach to achieving the N1 trillion target.

The move comes just months after First Bank of Nigeria successfully met the CBN’s existing N500 billion threshold for international banking licences. By targeting N1 trillion, First HoldCo is positioning itself to spearhead an industry-wide capital consolidation.

The proposed capital raise is more than a regulatory compliance exercise — it is a strategic statement of intent underpinned by a sweeping governance and balance sheet overhaul.

The new N253 billion raise, once finalised, is expected to close the remaining gap toward the N1 trillion target, effectively resetting the competitive benchmark among its FUGAZ peers — Zenith Bank, UBA, GTCO, and Access Holdings.

First HoldCo’s fresh capital mobilization is coming against the backdrop of a full year 2025 audited financial results that revealed a one-off balance sheet cleanup of N826.3 billion impairment charge resulting in a subdued profit before tax of N235.0 billion before an income tax charge of N87.7 billion further reduced net profit to N147.3 billion.

Otedola’s chairmanship has further driven a tightening of internal prudential standards and the appointment of new boards across the group’s non-banking subsidiaries to strengthen corporate governance.