Hassan-Odukale outguns Otedola, buys FBNH’s single-largest stake
FBN Holdings has finally put paid to the controversy that emerged over the ownership of the largest equity stake in the company after the announcement of the acquisition of a substantial shareholding by Mr. Femi Otedola, a billionaire businessman.
The holding company of First Bank of Nigeria Limited informed the Nigerian Exchange Limited on Wednesday that the Chairman of First Bank, Mr. Tunde Hassan-Odukale, has the largest shareholding in the company.
FBNH, in a letter sent to the NGX on Tuesday in response to the demand made by the bourse in writing on the same day, confirmed Hassan-Odukale ad Otedola as the only shareholders with more than 5% shareholding in the company.
According to a statement signed by the company’s secretary, Seye Kosoko, Hassan-Odukale has a controlling share in the company with a 5.36 per cent shareholding while Otedola owns 5.07 per cent.
The NGX had requested the company to issue an announcement on why it classified the indirect shareholdings of Hassan-Odukale into two parts of 4.16 and 1.2 per cent.
The exchange also demanded that FBNH clarify its reasons for including 1.055 per cent of Leadway Pensure PFA’s holdings as part of Hassan-Odukale’s 1.2 per cent indirect shareholdings in the company.
The company said, “The first 4.216 per cent are shares held directly by Mr. Tunde Hassan-Odukale. The second 1.2 per cent are shares ascribed to Mr. Tunde-Odukale due to his influence and having significant control.
“Mr. Tunde Hassan-Odukale has an indirect in Leadway Holdings Limited that holds 69% equity in Leadway Pensure PFA and at such exerts significant influence and control over Leadway Pensure. Consequently the company ascribed these shareholdings to him”.
Meanwhile, FBNH listed provisions in the company and Allied Matters Act and the Investments and Securities Act to justify its actions.
The share price of the company fell by 6.05 per cent to N11.65 on Wednesday from N12.4 on Tuesday, wiping off N26.92bn from its market capitalization.
The equities market of the NGX recorded a N12.88bn loss in market capitalization at the end of trading on Wednesday as investors sold off shares of FBNH and Nestle Nigeria Plc, among others.
The NGX All-Share Index declined by 0.06 per cent to close at 41,789.59 basis point from 41,819.94bps on Tuesday while the market cap fell to N21.81tn from N21.82tn.
