Finally Otedola Writes FBN Holdings On Takeover As Single Largest Shareholder

Femi Otedola has officially written First Bank Nigeria (FBN) Holdings Plc of his additional acquisition of shares in the company.

Glamtush reports that Otedola has officially written FBN Holdings Plc of the additional shares he recently acquired in the Company, bringing his total stake to 7.57% of the issued shares capital of the company.

Otedola made this known in a letter addressed to the company’s secretary, Oluseye Kosoko with the Central Bank of Nigeria, the Securities and Exchange Commission, and the Nigerian Exchange Limited in copy.

This online platform recalls that in October, FBN Holdings Plc debunked the media reports that Femi Otedola has acquired a significant shareholding interest of the Company.

Some of the grounds on which FBN debunked these were: “We (FBN) operate in a regulated environment, which requires notification of significant shareholding by Shareholders to the Company, where shares are held in different vehicles, further to which the Company will notify the regulators and the public as appropriate.

“The Company is yet to receive any notification from the individual mentioned in the media report, of such acquisitions.

“FBN Holdings Plc will always notify the appropriate agencies and authorities whenever it receives any notice of significant shareholding by the Shareholders and the Company’s Registrars.”

Following this, FBN confirmed the shares of Otedola in a statement, but revealed that Tunde Hassan-Odukale leads Femi Otedola having acquired a total of 1,923,512,099 units of shares representing 5.36% of the company’s issued share capital of 35, 895,292,791.”

The National Pension Commission (PenCom) later clarified that funds invested in FBN Holdings Plc by Leadway Pensure Ltd belong to Retirement Savings Account (RSA) holders and not Tunde Hassan-Odukale.

This was contained in a statement by PenCom on November 19. The statement said further that contrary to reports in a section of the media, Leadway Pensure Ltd did not break any laws by investing in FBNH.

However, the pension regulator said the equity investments in FBN Holdings made by Leadway Pensure Ltd on behalf of the pension funds under its management “are in the name of the pension fund and belong to the RSA” and “cannot be appropriated or classified as shareholdings of any related party to the PFA”.

This statement therefore put to rest claims that the Chairman of Leadway Assurance, Tunde Hassan-Odukale and related entities own 5.36% stake in FBNH, which would have made him the single largest shareholder.

Recall that after Femi Otedola acquired 5.07% stake in FBNH, Seye Kosoko, the company secretary, had written to the Nigerian Exchange Limited (NGX) attributing Leadway Pensure PFA’s entire 2.11% stake to Hassan-Odukale. Kosoko also listed 1.36% of “ZPC/Leadway Assurance Prem & Inv Coll Acct” investment in favour of Hassan-Odukale.

With PenCom’s clarification, the shareholding attributed to Hassan-Odukale was effectively whittled down to less than 4%. Otedola’s stake of 5.07% then, took him well above Hassan-Odukale.

Glamtush can now confirm that Femi Otedola has become the largest single shareholder of FBN Holdings Plc as seen exclusively in a letter to the Company Secretary, Okuseye Kosoko officially communicating his latest acquisition.

Otedola in the letter dated December 9, wrote, “Section 120 of the Companies and Allied Matters Act requires that I give notice in writing to the Company stating amongst other things, the particulars of the shares held by me or my nominees by virtue of which I am a substantial shareholder.”

The letter shows that Otedola has now acquired a total of 2,717,282,140 Units representing 7.57% of the company’s issued share capital of 35, 895,292,791.

Otedola wrote further, “I understand also that Rule 397(2) of the Consolidated Rule and Regulations of the Securities and Exchange Commission (SEC) requires the Registrar to file information on any transaction that brings beneficial ownership of shares in the company to 5 percent or more which is to be notified to the Commission, the Company and the Securities Exchange.

“I am also aware that Rule 4.1 of the Guidelines for Licensing and Regulation of Financial Holding Companies in Nigeria requires that where shares constituting 5.0% of the Company are acquired through the secondary market, the financial holding company shall apply for approval from the CBN within seven (7) days of the acquisition.

“While trusting that the Registrars have discharged their duty of notification to the Company in accordance with Rule 379 (2) of the SEC Rules to facilitate the obligation of notification to the CBN, this letter further serves as notification of additional shares acquisition by me {Otedola Olufemi Peter}, this will enable the Company obtain the requisite approval from the CBN and notify the CAC accordingly.”