Investors Eye First HoldCo’s N450.9bn Profit After FBNQuest Exit

First HoldCo Plc has announced the successful completion of the sale of its entire equity stake in FBNQuest Merchant Bank Limited to EverQuest Acquisition LLP, marking the conclusion of a major corporate restructuring move within the group.

The company disclosed the development in a formal notice to Nigerian Exchange Limited (NGX), stating that the transaction reached full completion following the receipt of all requisite regulatory approvals, including the final consent of the Central Bank of Nigeria (CBN).

The approval clears the way for the seamless transfer of ownership and operational control of the merchant banking subsidiary to the new investors.

According to the Group Company Secretary, Abiola Baruwa, the divestment underscores First HoldCo Plc’s ongoing strategic repositioning aimed at sharpening focus on its core business priorities and enhancing long-term value creation for shareholders.

While details of the transaction were not disclosed, the company noted that it has fulfilled all compliance obligations in line with NGX’s disclosure requirements and relevant regulatory frameworks governing corporate disposals in Nigeria.

The completion of the sale is expected to pave the way for EverQuest Acquisition LLP to outline its strategic direction for FBNQuest Merchant Bank, a player in Nigeria’s merchant banking and financial services space.

First HoldCo Plc has reported a profit after tax of N450.9bn for the nine months ended 30 September 2025.

According to the group’s unaudited financial statement filed with the Nigerian Exchange Limited, the figure represents a 15.5 per cent decline from the N533.9bn profit recorded in the same period of 2024.

First HoldCo’s gross earnings rose by 17.1 per cent year-on-year to N2.63tn from N2.25tn in September 2024, driven by interest income, which rose to N2.29tn in the nine months of 2025 from N1.63tn in the corresponding period of 2024, representing a 40.4 per cent increase.

However, interest expense climbed to N791.8bn from N759.1bn, while impairment charges for losses rose to N288.9bn from N171.4bn in the previous year.

The group’s fee and commission income grew to N260.5bn from N205.3bn. First HoldCo also recorded a net foreign exchange gain of N71.9bn, a recovery from a loss of N226.7bn posted a year earlier.

Profit before tax for the group stood at N566.5bn, down from N610.9bn in the corresponding period of 2024.

Similarly, the group’s total comprehensive income declined to N335.1bn from N848.8bn reported in the previous year, while earnings per share dropped to N10.65 from N14.64 in 2024.

Commenting on the development, the Group Managing Director of First HoldCo, Adebowale Oyedeji, said, “FirstHoldCo has once again shown solid earnings capabilities. The Group posted a strong financial performance over the period, with interest income and operating income growing by 40.4 per cent and 23.2 per cent year-on-year, respectively. The robust performance of the core business was supported by a 26.9 per cent rise in gross fees and commission income. Consequently, gross earnings reached N2.6tn, marking a 17.1 per cent year-on-year increase.

“The decline in profit before tax is directly attributable to the normalisation of fair value gains and measures implemented to strengthen the balance sheet for the long term. Our strategic risk management initiatives are already yielding positive results, as evidenced by an improvement in the non-performing loan ratio to 8.5 per cent, and we are on track to exit the forbearance regime by year-end.”

Speaking on the ongoing recapitalisation, Oyedeji said, “Regarding the recapitalisation of FirstBank, the first phase of our private placement capital raise has been successfully executed. Pending final regulatory approvals, we anticipate this phase will conclude in November 2025, ensuring FirstBank’s full compliance with the minimum capital requirements before year-end 2025. The proceeds from the subsequent rounds of capital raising will be used to further enhance and broaden our innovative financial solutions and explore value-accretive opportunities.

“Overall, FirstHoldCo’s underlying metrics affirm its fundamental strength, resilience, and scalability of operations. The Group is well-positioned to not only achieve its 2029 financial targets but also to significantly enhance shareholder returns.”

Investors Eye First HoldCo’s N450.9bn Profit After FBNQuest Exit is first published on The Whistler Newspaper