Nigeria’s banking recapitalization exercise wrapped up in March 2026 with 33 institutions collectively raising ₦4.65 trillion in fresh equity.
FirstHoldCo Plc, the holding company that controls First Bank of Nigeria, already cleared that regulatory hurdle months earlier.
But a filing dated May 6, 2026, shows the Femi Otedola-chaired group is not slowing down after meeting the minimum threshold.
In its notice for the 14th Annual General Meeting scheduled for May 29, 2026, FirstHoldCo asked shareholders to approve something larger.
The group proposed raising up to ₦253 billion in new equity to take its total paid-up capital to ₦1 trillion, a figure no Nigerian bank has reached.
FirstHoldCo’s ₦253 billion raise targets a ₦1 trillion capital base
The resolution in the AGM notice filed with the Nigerian Exchange seeks authorization for a capital raise of up to ₦253,099,328,580.50, structured to achieve ₦1 trillion in paid-up capital comprising share capital and share premium.
The filing outlines multiple channels for the raise, including public offerings, private placements, rights issues, bonus issues, and scrip dividends.
Pricing would be determined through a book-building process or any other valuation method chosen by the board of directors, the notice stated.
The board also asked shareholders to authorize underwriting of the transaction, listing of new shares on the NGX, and amendments to the company’s memorandum of association to reflect the updated capital structure.
If you hold FirstHoldCo shares or track the FUGAZ banks, this resolution could reshape the competitive balance among Nigeria’s tier-one lenders.
Where FirstHoldCo’s capital stands after the CBN recapitalization
FirstHoldCo’s commercial banking subsidiary, First Bank of Nigeria, cleared the Central Bank of Nigeria’s ₦500 billion minimum capital threshold for international banking licenses in early January 2026.
The group achieved that milestone through a rights issue that attracted ₦187.6 billion in subscriptions, exceeding its ₦150 billion target by over 25%, TheWillNews reported.
Total issued shares stood at 35.9 billion at the end of 2024, Nairametrics reported. A rights issue and subsequent private placement brought that figure to 44.45 billion ordinary shares by the end of 2025, according to an NGX weekly market report.
As of the first quarter of 2026, the group’s combined share capital and share premium stood at ₦480.6 billion, with shareholders’ funds valued at ₦3.4 trillion, Nairametrics reported.
Combined with FirstHoldCo’s existing ₦350 billion capital raising program and retained earnings, the proposed ₦253 billion raise would help close the gap between that ₦480.6 billion figure and the ₦1 trillion target stated in the AGM resolution.
Otedola’s push for ₦1 trillion minimum capital started before the AGM filing
The ₦1 trillion target in the AGM notice echoes a public stance that Chairman Femi Otedola took months ago, well before this formal proposal landed.
In January 2026, after FirstBank cleared the ₦500 billion bar, Otedola argued publicly that the regulatory floor itself was too low for serious global ambitions.
“From where I stand, and with the benefit of many years in Nigeria’s business landscape, I believe it is time to raise the minimum capital requirement for international banking licences from ₦500 billion to at least ₦1 trillion.” — Femi Otedola, Chairman, FirstHoldCo Plc, via TheCable
He argued that an economy targeting the $1 trillion milestone could not afford to depend on financial institutions with thin capital cushions, Billionaires.Africa noted.
Otedola currently holds approximately 18.12% of FirstHoldCo, after steadily increasing his position through direct purchases and his investment vehicle, Calvados Global Services Limited, Premium Times reported.
FirstHoldCo’s Q1 2026 results show the earnings engine behind the ambition
The capital proposal arrives alongside a set of first-quarter numbers that suggest the group has the earnings momentum to support a large raise.
Group Managing Director Wale Oyedeji pointed to the Q1 performance as proof that the painful 2025 balance sheet overhaul was paying off.
“FirstHoldCo has begun 2026 on a strong footing, delivering a Q1 performance that validates the resilience of our franchise and the disciplined execution of our strategy,” Oyedeji stated, according to Daily Trust.
Key Q1 2026 numbers from FirstHoldCo’s results
- Pre-tax profit: ₦321 billion, up 72% from ₦186.5 billion in Q1 2025
- Profit after tax: ₦267.8 billion, a 56.5% increase year over year
- Gross earnings: ₦942 billion, up 26.8% from Q1 2025
- Return on equity: 31.6%, highest among all FUGAZ banks in Q1 2026
- Loan recoveries: ₦19 billion, up from ₦1 billion in the same period of 2025
That Q1 pre-tax profit figure made FirstHoldCo the second most profitable bank in Nigeria for the quarter, trailing only Zenith Bank at ₦360.91 billion, TheCable reported.
What the ₦1 trillion capital target means for investors and the sector
If shareholders approve the resolution on May 29, FirstHoldCo would still need regulatory clearance from the Central Bank of Nigeria and the Securities and Exchange Commission.
The CBN wrapped up its 24-month recapitalization program in March 2026, confirming that 33 banks raised a combined ₦4.65 trillion in new equity, Vanguard reported.
CBN Governor Olayemi Cardoso confirmed that capital adequacy ratios across the industry now exceed international Basel benchmarks, with a 15% minimum for internationally licensed banks.
FirstHoldCo’s proposal signals an intent to move well beyond regulatory compliance and position the group for larger lending capacity and strategic expansion.
For existing shareholders, the key question is dilution: at a recent price of ₦67.8 per share, the raise could require an estimated 3.73 billion additional ordinary shares on top of the existing 44.45 billion share count, Nairametrics estimated
The AGM notice leaves the board considerable flexibility on timing, pricing, and structure, meaning the final terms could look very different from what the market expects today.
