Otedola Targets 51% Stake in FirstHoldCo: What Majority Control Could Mean for the Banking Group

Billionaire businessman and Chairman of FirstHoldCo Plc, Femi Otedola, has indicated plans to increase his ownership in the financial services group to more than 51%, potentially giving him majority control of one of Nigeria’s largest financial institutions.

The development adds a new dimension to FirstHoldCo’s recent growth story, coming shortly after the company crossed the ₦6 trillion market capitalistic mark and reported strong financial results for the first half of 2026.

Otedola’s proposed increase in ownership is not simply about acquiring more shares. It could have significant implications for the future direction of the group, including its strategy, governance, capital allocation and approach to long term value creation.

Otedola has said that increasing his stake would give him greater ability to implement reforms and restructuring within the group. His beneficial ownership has risen to approximately 25.87% following recent acquisitions, with the businessman indicating that he intends to build the stake beyond 51%.

From Investor to Potential Majority Shareholder

Otedola’s growing interest in FirstHoldCo has been closely watched by the Nigerian investment community.

His accumulation of shares has steadily increased his influence within the group, and a move beyond the 51% threshold would represent a significant shift in his position.

A majority stake would potentially give Otedola greater influence over shareholder decisions and the strategic direction of the company, subject to applicable corporate and regulatory requirements.

For FirstHoldCo, this could mean a stronger alignment between the chairman’s long term vision and the direction of the group.

It also raises questions about what that vision will look like in practice.

Why Otedola Wants Greater Control

Otedola has linked his ambition for a larger stake to his plans to reform and restructure the business.

Rather than presenting the acquisition purely as an investment opportunity, the businessman has suggested that greater ownership would allow him to make changes aimed at improving the company’s long-term performance and value.

That distinction is important.

Majority ownership can provide an investor with greater influence over strategic decisions, but it also comes with greater responsibility for the performance and direction of the company.

For Otedola, the challenge will therefore be to translate increased ownership into measurable improvements in the businesses under FirstHoldCo.

The Otedola Playbook

The proposed FirstHoldCo strategy also fits into a broader pattern in Otedola’s business career.

The businessman has previously taken significant positions in Nigerian companies and subsequently pursued changes aimed at improving their performance and value.

His experience with Forte Oil, which he later sold, and his investment in Geregu Power have become notable parts of his corporate history.

Otedola has also referenced this approach while discussing his FirstHoldCo investment, suggesting that his involvement is driven by a long term strategy rather than a short term share price opportunity.

That history will likely make investors pay close attention to what happens next.

If Otedola succeeds in increasing his ownership beyond 51%, the market will want to see whether the strategy produces similar value creation at FirstHoldCo.

What Could Majority Control Mean for FirstHoldCo?

A move to majority ownership could potentially affect several areas of the group.

Strategy

FirstHoldCo operates through a diversified financial services structure that includes banking, asset management, capital markets, securities, trusteeship and other financial services.

Greater shareholder control could provide Otedola with a stronger platform to push through his preferred strategic direction across the group.

That could involve restructuring businesses, improving operational efficiency, strengthening subsidiaries or pursuing new growth opportunities.

However, any major strategic shift would need to balance the interests of different stakeholders and operate within the regulatory framework governing Nigeria’s financial sector.

Governance

Ownership and governance will also be an important part of the conversation.

A shareholder crossing the 51% threshold does not mean that every corporate decision becomes automatic. FirstHoldCo remains subject to its corporate governance framework, shareholder rights, board responsibilities and regulatory oversight.

For investors, therefore, the question will be how increased ownership is balanced with effective governance and accountability.

Maintaining confidence among minority shareholders will also be important as Otedola’s stake increases.

Capital and Growth

FirstHoldCo is already operating within a financial sector undergoing significant capital strengthening.

Nigerian banks have been required to build stronger capital bases as part of the Central Bank of Nigeria’s recapitalization program, making capital adequacy and balance sheet strength central to the sector’s future.

FirstHoldCo has also been pursuing measures to strengthen its capital position and support the growth of its banking business.

Any future strategy under increased Otedola ownership will therefore have to work within this broader environment.

Investors Will Be Watching

The proposed increase in Otedola’s stake comes at a particularly interesting time for FirstHoldCo.

The group recently crossed the ₦6 trillion market capitalistic mark, while its first-half results showed strong growth in profitability.

For the first half of 2026, FirstHoldCo reported an 83.5% increase in profit before tax to ₦653.54 billion, while gross earnings rose to ₦1.93 trillion.

The company’s improving financial performance has helped strengthen investor interest in the stock.

Otedola’s growing stake now adds another layer to that story.

Investors will be watching whether increased ownership leads to further strategic changes, whether the group can sustain its earnings momentum and how the proposed restructuring translates into long-term value.

A Bigger Question for Corporate Nigeria

Otedola’s pursuit of majority control is also part of a broader conversation about ownership, leadership and value creation in Nigerian businesses.

When a major investor seeks greater control of an established company, the outcome is not determined by ownership alone.

The real test is what happens afterwards.

Can stronger ownership translate into better execution? Can restructuring improve efficiency without weakening the institution’s existing strengths? Can the company create sustainable value for both controlling and minority shareholders?

These questions will become increasingly important if Otedola succeeds in taking his stake beyond 51%.

For FirstHoldCo, the development could mark the beginning of a new chapter.

The group is already navigating a period of strong earnings, capital strengthening and rising market valuation. A move toward majority ownership by one of Nigeria’s most prominent businessmen could add another layer of strategic direction to that transformation.

For Otedola, meanwhile, the opportunity is clear: turn greater ownership into greater value.

Whether that ambition produces another successful chapter in his investment history or introduces new challenges for one of Nigeria’s biggest financial groups will be closely watched by investors, regulators and the wider business community.

One thing is certain: the FirstHoldCo story is no longer just about how high its market value can go. It is increasingly about who will shape its next phase of growth, and what that growth will mean for the future of corporate Nigeria.

[give_form id="20698"]