FirstBank hits ₦500bn Capital Mark as Recapitalisation Drive Succeeds

By Kazeem Ugbodaga

First HoldCo Plc has announced that its flagship commercial banking subsidiary, First Bank of Nigeria, has successfully met the Central Bank of Nigeria’s minimum capital requirement of ₦500 billion, marking a major milestone in the Group’s recapitalisation drive.

The Group said the requirement was achieved through a combination of strategic capital initiatives, including a Rights Issue, a Private Placement and the injection of proceeds from the divestment of its merchant banking subsidiary.

The development places FirstBank among early movers to comply with the recapitalisation directive issued by the Central Bank of Nigeria.

In March 2024, the CBN had directed commercial banks to raise their capital base to at least ₦500 billion within a 24-month window to strengthen the resilience, stability and lending capacity of Nigeria’s banking sector.

FirstHoldCo said FirstBank had met the requirement well ahead of the regulatory deadline.

According to the Group, the strengthened capital base positions FirstBank to deepen its support for the real sector of the economy, expand financial inclusion and roll out more innovative, technology-driven banking solutions.

The recapitalisation is also expected to enhance the Group’s overall financial resilience and provide a stronger platform for earnings growth and long-term expansion.

Beyond the banking subsidiary, FirstHoldCo disclosed plans to raise fresh funding in 2026 to inject additional capital into its other subsidiaries and explore new business adjacencies, as part of a broader strategy to scale operations and improve service delivery across its diversified portfolio.

Commenting on the achievement, Chairman of First HoldCo Plc, Femi Otedola, thanked shareholders for their support, describing the successful capitalisation as a clear vote of confidence in the Group’s strategic direction.

“From the oversubscribed Rights Issue to the seamless Private Placement, investors have demonstrated strong belief in our long-term vision,” Otedola said, adding that meeting the capital requirement ahead of schedule positions FirstBank for its next phase of growth.

Group Managing Director of First HoldCo Plc, Wale Oyedeji, said the capital raise would enable the Group to accelerate innovation, improve competitiveness and deliver sustainable returns to stakeholders.

FirstHoldCo is a Lagos-based financial services group with interests spanning banking, asset management, insurance brokerage and capital markets, and says it remains focused on building a more inclusive and resilient financial ecosystem in Nigeria.