FBN Holdings to Offload Otudeko-Linked Shares Amid Capital Raise Drive

FBN Holdings Plc, the parent company of First Bank of Nigeria, has announced plans to dispose of shares recently transferred from Barbican Capital, a firm associated with prominent businessman Oba Otudeko, as part of a broader effort to streamline ownership and stay on track with its capital raising programme.

The disclosure was made on Monday during an investor call in Lagos by Managing Director Wale Oyedeji, who confirmed that the shares—now held by a special purpose vehicle (SPV) named RC Investment Management Ltd—will ultimately be sold on the open market.

“We will be disposing those shares, and there are a range of options available to us,” Oyedeji said. “Ultimately, you will see that those shares will be disposed in the market.”

He declined to provide a specific timeline for the divestment but clarified that RC Investment is merely a temporary custodian of the stake, not a long-term strategic holder.

The move follows a controversial transfer of about 25% of FBN Holdings’ shares last month by Barbican Capital to RC Investment Ltd. The transaction raised eyebrows in the market due to its opaque structure and undisclosed beneficial ownership, stoking concerns about corporate governance and shareholder transparency.

Despite the share transfer saga, Oyedeji reaffirmed that FBN Holdings’ capital raising plans remain firmly on course, and the recent developments have not impacted its financial strategy.

“Capital raising is progressing as planned and not impacted by the recent share divestment,” he emphasized.

FBN Holdings is targeting a ₦350 billion ($228 million) raise through private placements in the current quarter, following a successful ₦147 billion rights issue earlier in the year. The capital injection is part of the group’s effort to meet the Central Bank of Nigeria’s new capital requirements, aimed at strengthening the banking sector and bolstering financial stability.

The planned sale of the Otudeko-linked shares marks another chapter in the ongoing tussle over control and influence within one of Nigeria’s most historic financial institutions, as the bank seeks to navigate both regulatory compliance and internal restructuring.

Market watchers will be closely monitoring the share disposal process for signs of who might emerge as new significant stakeholders—and whether this move signals a broader shift in the institution’s ownership dynamics.