#How Otedola Used DJ Cuppy’s Companies To Take Over First Bank!


Femi Otedola, Billionaire and father of controversial DJ, DJ cuppy beomes the highest shareholder of first bank in a deal worth over 5% shares of the bank.

According to multiple sources with knowledge of the purchase, majority ownership of FBN Holding Company, owners of Nigeria’s oldest bank, First Bank, is about to be upturned following months of slow and meticulous purchase of the company shares on the floor of the Nigerian Stock Exchange by Otedola.

HEADLINENEWS understand through Nairametrics that Femi Otedola is now the majority shareholder of the bank with an announcement imminent in the coming days.

The billionaire investor and turnaround specialist famous for taking over African Petroleum earlier in the century and turning it into a dominant player in the downstream space of the oil and gas sector has been mopping up shares of the bank for months gradually accumulating his ownership and surpassing shares owned by any other single shareholder of the bank.

From the HEADLINENEWS , we  understands that Mr.  Otedola has been acquiring the shares of the bank through a firm, which comprises Femi and her daughters as director, Calvados Global Services Ltd. It is also likely that there could be other vehicles associated with Mr Otedola who may have also been mopping up shares.

FBNH currently has 34.7 billion of its shares floating freely meaning it is held by diverse shareholders. This makes the shares easy to acquire on the stock exchange.

The latest audited account of FBN Holdings does not have any shareholder with up to 5% of the ownership of the banking behemoth.

Nairametrics understands Mr Otedola, through his proxies and investing vehicles, now owns over 5% of the bank, setting himself up to be the single largest shareholder of the bank.

According to several sources, privy to Nairametrics, seen by INTEL REGION, shares of FBNH have been mopped up over the course of the last 6 months when the share price traded at just above N7.

However, rumours of an imminent takeover started to make the rounds among traders pushing up the share price of the bank to breach the N8 ceiling by end of September.

Nairametrics sources further revealed off-market block purchases ranging in the hundreds of millions of units were reported by traders with knowledge of the transaction even though it was not immediately clear who was behind the purchases. As the rumours swirled in October, FBNH share price rose as high as N12 per share gaining 69% in two weeks.

Traders who spoke to Nairametrics on the condition of anonymity said most of the demand for the stock turned bullish when it became clear Mr Otedola might be behind some of the major purchases. One particular trader suggests, investors see his potential takeover of the bank as a positive sign citing the same momentum that followed the share price of Forte Oil making it one of the best-performing stocks in 2013 after it achieved over 1000% share price growth that year.

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