FBN Holdings has become the country’s most capitalised bank valued at N1.22tn, topping Guaranty Trust Holding Company and Zenith Bank.
At the close of trading on Monday, GTCO’s market cap stood at N1.16tn, and Zenith Bank was N1.11tn.
The PUNCH analysis revealed that FBN Holdings shares jumped by 56.68 per cent since billionaire businessman, Femi Otedola, assumed office as its chairman on January 31.
He had been appointed as a non-executive director in the company’s board on August 15, 2023, but his appointment was, thereafter, ratified by shareholders at the group’s last Annual General Meeting.
When he became FBN Holdco’s chairman, its share was N21.70 with a N778.93bn market capitalisation.
At the close of trading on Monday, FBN Holdings’ market cap hit N1.22tn, as its share closed at N34.
In over a month, the financial group’s investors had seen their wealth improve by N441.51bn.
FBN Holdings was one of the banking sector stocks whose valuation hit the N1tn market cap during the bullish run on the local bourse in January.
It, however, dropped from the N1tn milestone in subsequent trading sessions before its current upswing.
Minority shareholders expressed excitement about Otedola’s chairmanship and his impact on their shareholding.
The President of Pragmatic Shareholders Association, Bisi Bakare, in a chat with The PUNCH said, “If you look at any company where Otedola has been chairman, they were always the first companies to file their annual reports. He will introduce the same to FBN Holdings.
“Otedola always makes sure that he pays good dividends to minority shareholders wherever he is. We hope that he is going to be good to shareholders, especially minority shareholders.”
Also, the National Coordinator of Progressive Shareholders Association, Boniface Okezie, said “Femi is tested and trusted. He can lead the financial institution to greater heights. Much is expected of him. There is no doubt that he will provide the right leadership for the group and do well.
“He is an investor, not an outsider. His money is there, so his eyes will be there to protect his investment.”
Okezie said the dividend was a priority for minority investors, noting, “He must make sure that the Holdco pays higher dividends to investors and bring about bigger capital appreciation.”
Indirectly, Otedola holds 1,989,342,376 units of FBN Holdings shares, representing 5.54 per cent of the entire shareholding of the bank and directly, he holds 40,033,982 units of the group’s shares, which is 0.11 per cent.
Combined, Otedola holds 2,029,376,358 units of FBN Holdings shares, which is 5.65 per cent.
