In a major show of investor confidence, First Bank Holdings Plc (First HoldCo) has announced a 25% oversubscription in its recently concluded rights issue, underscoring strong market appetite for its growth strategy and long-term value proposition.
The company made the announcement in a regulatory disclosure to the Nigerian Exchange Limited (NGX) on Wednesday, revealing that investors took up more shares than initially offered—an indication of renewed faith in the group’s performance and future prospects.
According to the statement, the rights issue exercise was oversubscribed by 25.4%, reflecting enthusiastic participation from both existing shareholders and new investors looking to tap into the financial services group’s expanding market footprint.
First HoldCo, which operates subsidiaries in commercial banking, merchant banking, asset management, and insurance, launched the capital raise in line with its capital optimization plan to bolster liquidity, enhance operational efficiency, and drive expansion across financial service segments.
The Group Managing Director, Nnamdi Okonkwo, expressed appreciation to shareholders, noting that the overwhelming subscription confirms confidence in the company’s business model and its strategic transformation agenda.
“We are grateful to all stakeholders for their unwavering support. The successful completion of this rights issue not only strengthens our capital base but positions us to seize emerging opportunities in Nigeria’s financial sector,” Okonkwo said.
Market analysts have described the oversubscription as a positive signal amid a challenging macroeconomic climate, as it reflects investors’ readiness to bet on strong fundamentals and efficient corporate governance.
With the successful rights issue, First HoldCo is expected to unlock fresh capital for expansion, digital transformation initiatives, and strategic investments aimed at reinforcing its leadership in Nigeria’s financial services ecosystem.
The allotment of excess shares to successful subscribers is expected to follow in accordance with NGX guidelines and regulatory approvals.
