By Ayomide Otitoju
First HoldCo Plc (FirstHoldCo) has announced that its commercial banking subsidiary, First Bank of Nigeria (FirstBank), has successfully met the Central Bank of Nigeria’s (CBN) minimum capital requirement of ₦500 billion. The milestone was achieved through a combination of strategic initiatives, including a Rights Issue, a Private Placement, and proceeds from the divestment of the Group’s merchant banking subsidiary.
The recapitalisation strengthens FirstBank’s capital base, enhancing its ability to support the real sector, promote financial inclusion, and deliver innovative, digitally driven services. It also reinforces the Group’s financial resilience, providing a foundation for earnings growth through business expansion, technological innovation, and strategic opportunities.
The CBN had in March 2024 directed commercial banks to raise their capital base to a minimum of ₦500 billion within 24 months to bolster the stability and capacity of Nigeria’s banking sector. FirstBank met the requirement well ahead of the regulatory deadline.
Looking ahead, FirstHoldCo has expressed plans to raise additional funding in 2026 to inject further capital into existing subsidiaries and explore new business adjacencies, aimed at expanding services and accelerating growth.
Commenting on the achievement, Chairman Femi Otedola, CON, said:
“On behalf of the Board, I extend our profound gratitude to our shareholders for their trust and unwavering support throughout this capitalisation programme. Securing FirstBank’s capital base ahead of schedule is a testament to our collective commitment and positions us firmly for our next growth phase. We also appreciate the professional guidance of the CBN and SEC throughout this process.”
Group Managing Director Wale Oyedeji added:
“This successful capital raise is a pivotal milestone for FirstHoldCo. It provides us with the financial strength to execute our strategic priorities: driving innovation, delivering superior customer value, and enhancing sustainable profitability. With this solid foundation, we are focused on accelerating performance and delivering lasting value to all our stakeholders.”
