May 29 (THEWILL) — Shareholders of First HoldCo Plc, the parent company of FirstBank of Nigeria, have approved a capital raise of up to N253.099 billion as the group advances plans to build a N1 trillion paid-up capital base.
The resolution was passed at the company’s 14th Annual General Meeting held virtually on Friday, May 29, 2026, and monitored by Nairametrics.
The approval forms part of First HoldCo’s broader balance sheet strengthening strategy and was earlier contained in its AGM notice to shareholders.
The proposed capital raise will push the group closer to its target of N1 trillion in paid-up capital, comprising share capital and share premium.
This threshold is twice the Central Bank of Nigeria’s N500 billion minimum capital requirement for banks with international authorisation.
Reading the resolution at the meeting, First HoldCo Chairman, Femi Otedola, said the transaction remains subject to regulatory approvals and may be executed through multiple capital market instruments.
He explained that the capital raise could be implemented via a combination of public offerings, rights issues, private placements, bonus issues, scrip dividends, or other equity instruments in both Nigerian and international markets.
Otedola added that pricing would be determined through a book-building process or other valuation methods approved by regulators, while directors are authorised to secure listing of any issued securities on the Nigerian Exchange Limited or other recognised exchanges.
The latest approval builds on First HoldCo’s ongoing capital optimisation programme, which includes rights issues, asset divestments, and private placements.
The group completed a N45 billion private placement in March 2026 and is also progressing with the divestment of its merchant banking arm, FBNQuest.
The fresh raise is expected to further strengthen the group’s capital buffers following a challenging 2025 financial year, which included an N826.3 billion impairment charge that weighed on profitability.
Despite this, First HoldCo reported a strong rebound in Q1 2026, with profit before tax rising 72.2 percent year-on-year to N321.1 billion, signalling improved earnings momentum after legacy balance sheet clean-up efforts.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
