A group of shareholders holding a 10% stake in First Bank Holdings (FBH) has called for the removal of the bank’s chairman, Femi Otedola, and non-executive director Julius B. Omodayo-Owotuga.
BusinessNG notes that these shareholders have requested the convening of an Extraordinary General Meeting (EGM) within 21 days, as required by Section 215(1) of the Companies and Allied Matters Act (CAMA).
The call comes amidst growing concerns over the governance of the bank, particularly regarding Otedola’s controversial appointment as chairman. Allegations have emerged that Otedola’s leadership, along with the appointment of his personal staff to key positions, has resulted in an undue concentration of power within the bank. There are also fears surrounding a proposed N360 billion private placement, which the shareholders argue could further consolidate Otedola’s control. The group is advocating for a rights issue or public offer instead to ensure a more equitable distribution of shares.
In response to these developments, FBN Holdings Plc has issued a statement assuring its stakeholders that the call for an EGM will not disrupt operations. The company emphasized that all business activities across its subsidiaries will continue without interruption.
The statement, signed by Company Secretary Adewale Arogundade, reassured customers, investors, and the public that all necessary measures are being taken to protect the interests of the company. FBN Holdings highlighted its strong financial performance, with increased market capitalization, and reaffirmed its ongoing efforts to meet regulatory capital requirements well ahead of the deadline.
The company also confirmed that its Registrar and Lead Issuing House are currently collating returns from receiving agents following the conclusion of the Rights Issue on December 30, 2024. FBN Holdings reiterated its commitment to high standards of corporate governance and to ensuring sustainable growth and operational excellence moving forward
