FG Denies Acquiring 25% Stake in First Holdco

The Federal Government on Friday categorically denied any involvement in the reported acquisition of a 25 per cent stake in FBN Holdings Plc, also known as First Holdco, clarifying that neither the government nor the Ministry of Justice played any role in the transaction.

“Neither the Federal Government of Nigeria nor the Attorney General of the Federation and Minister of Justice participated in acquiring the shares in question,” said Kamarudeen Ogundele, Special Adviser on Communication and Publicity to the Attorney General, in a statement issued Friday.

The statement, titled “AGF denies FG’s involvement in First Holdco Share Acquisition,” was released in response to a report published by ThisDay Newspaper on July 17, 2025, and a segment aired by Arise TV. The media reports had suggested that 25 per cent of First Holdco shares were transferred to a government-appointed trustee, implying federal ownership in Nigeria’s oldest banking group.

Ogundele dismissed the claim as “inaccurate, misleading, resentful and malicious,” warning that such misinformation could create unnecessary confusion about the ownership and governance of First Holdco.

According to him, the trustee structure in question was established by First Holdco itself, with approval from the Central Bank of Nigeria (CBN), and Stanbic IBTC was appointed as an independent third-party manager. “This arrangement is distinct from any government involvement,” he clarified.

The Attorney General’s office expressed concern over the implications of the reports, urging media organisations to exercise “restraint, professionalism and due diligence” in their coverage to avoid distorting public perception of the bank’s structure.

“We assure the public of continuous commitment to the promotion of the Rule of Law, Justice, equity, accountability, transparency and service to the nation by the administration of President Bola Ahmed Tinubu,” the statement concluded.

First Holdco has been under close public scrutiny since 2021, when billionaire businessman Femi Otedola acquired a five per cent stake in the company. The move triggered a major board reshuffle following the Central Bank’s dismissal of First Bank’s directors over violations involving insider lending.