The Board of First HoldCo Plc has announced the completion of its divestment from its merchant banking subsidiary, FBNQuest Merchant Bank Limited, to the EverQuest Group.
According to a press release, the decision, “positions the company to optimise resource allocation and further reinforce its commitment to providing comprehensive financial solutions.” The statement said: “The proceeds from this divestment will be utilised to strengthen the capital base of the Group’s flagship subsidiary, FirstBank.
In line with the strategic objectives, the Group is also investing in technology-driven innovations to enhance customer engagement, improve service delivery, and redefine the overall client experience. “The divestment from the merchant banking subsidiary is a strategic initiative to optimise capital efficiency and concentrate efforts on key growth sectors within the Group.
Through reallocating resources to strengthen commercial banking operations while deepening offerings across subsidiaries, FirstHoldCo is enhancing its ability to innovate, provide exceptional customer value, and achieve sustainable returns for shareholders.”
The statement noted that after the divestment, the First HoldCo Group still has the following subsidiaries in its fold: FirstBank, FirstCap, First Asset Management, First Trustees, First Securities Brokers and First Insurance Brokers.
Speaking on the divestment, the Chairman of First HoldCo Plc, Mr Femi Otedola, stated that: “This divestment is fully consistent with our long-term strategy to enhance the Group’s performance and create additional value for both shareholders and stakeholders.
It represents a strategic action that positions us for improved returns and sustainable growth.” While providing further context on the positive impact of the divestment, the Group Managing Director of First HoldCo Plc, Wale Oyedeji said: “By divesting from the merchant banking, we are reallocating resources to strengthen our commercial banking operations and drive growth across the Group.
This strategic decision enables us to concentrate on executing our objectives more effectively and reinforces our commitment towards market leadership.”
