FirstHoldco announces 25% oversubscription of N150bn rights issue
…Preparing for N350bn private placement
FirstHoldco Plc has announced the successful completion of its N150 billion Rights Issue, which attracted an impressive 25 per cent oversubscription.
This achievement paves the way for the company’s next strategic move: a Private Placement aimed at raising an additional N350 billion.
Speaking on the capital-raising initiative, Adebowale Oyedeji, Group Managing Director of FirstHoldco Plc, underscored the strong investor confidence evident in the first phase of the fundraising effort.
“We are pleased to confirm the successful completion of the N150 billion Rights Issue, which saw total subscriptions reaching N187.6 billion, exceeding our initial target by more than 25 per cent,” he stated.
Oyedeji noted that the overwhelming response from shareholders reflects trust in the company’s long-term vision.
He further stated that the newly raised capital would enable FirstHoldco to strengthen its market presence, invest in cutting-edge innovations, and support sustainable expansion for FirstBank, its flagship subsidiary.
“We sincerely appreciate the Central Bank of Nigeria and the Securities and Exchange Commission for their unwavering support in upholding the integrity of the process and the capital market,” he added.
Femi Otedola, Chairman of FirstHoldco Plc, echoed Oyedeji’s sentiments, expressing deep gratitude for the strong engagement of shareholders and stakeholders in the Rights Issue.
“On behalf of the Board of Directors, I extend my heartfelt appreciation to all our shareholders and stakeholders who played a role in this successful Rights Issue.
The robust participation is a testament to the shared confidence in FirstHoldco’s future prospects,” he remarked.
Otedola also acknowledged the guidance and oversight of regulatory authorities, including the Central Bank of Nigeria and the Securities and Exchange Commission, ensuring transparency and compliance throughout the process.
“We are immensely grateful for the continuous support and collaboration, which empowers us to embark on this next phase of growth,” he concluded.
Following unanimous shareholder approval during the company’s 12th Annual General Meeting on 14th November 2024, FirstHoldco is now set to advance to the second phase of its capitalisation exercise—a Private Placement to raise up to N350 billion.
This approval also grants the company flexibility to explore multiple funding avenues, including public offerings, private placements, and rights issues, across both local and international capital markets.
Additionally, shareholders approved a dividend payout of 40 kobo per 50 kobo ordinary shares, amounting to N14.36 billion, for the 2023 financial year.
They also authorised the Board of Directors to take necessary measures to execute the resolutions, ensuring compliance with relevant regulatory guidelines.
FirstHoldco recently announced significant financial milestones, reaffirming its commitment to leveraging innovative strategies for sustained growth.
The company is now poised to strengthen its market position and accelerate its expansion agenda in the coming years.
