First HoldCo becomes Nigeria’s most valuable bank stock

First HoldCo has become Nigeria’s most valuable banking stock, overtaking Zenith Bank and Guaranty Trust Holding Company after a rally that lifted its market capitalisation to about ₦4.80 trillion, roughly $3.48 billion, at Monday’s close.

The banking group chaired by billionaire Femi Otedola edged ahead of Zenith, which ended the session valued at about ₦4.79 trillion, with GTCO close behind at ₦4.71 trillion. The three tier-one lenders are now separated by less than ₦100 billion, a gap narrow enough that a single trading session could reorder them.

The move followed the release of First HoldCo’s half-year results earlier in the day. The shares closed at ₦105.50, up 10 percent, a record high that capped a rally more than doubling the stock this year.

A ranking built on record earnings

The re-rating rests on the strongest half-year performance in the group’s history. Pre-tax profit rose 83.5 percent to ₦653.54 billion, about $474 million, for the six months to June 30, from ₦356.15 billion a year earlier.

The second quarter carried the result. Pre-tax profit reached ₦332.42 billion between April and June, up 3.5 percent on the first quarter and 95.9 percent higher than the ₦169.67 billion posted in the same quarter of 2025. Management attributed the improvement to stronger operating efficiency, better asset quality, and growth in transaction banking and non-interest income.

The scale of the turnaround is measured against a weak base. First HoldCo reported full-year 2025 pre-tax profit of ₦147.2 billion after taking an ₦826 billion impairment charge to clean up its balance sheet. Otedola and the management team described that write-down as a deliberate reset rather than a sign of deterioration in the underlying business. The half-year figures are the clearest evidence yet that the strategy has held.

Otedola lifts his stake above 20 percent

Otedola has continued building his position throughout the recovery. His combined interest rose to 20.40 percent as of June 30, from 18.12 percent at the end of March and 15.95 percent a year earlier.

The increase came mostly through indirect holdings, which climbed to 6.03 billion shares from 4.80 billion in March, while his direct stake held at 3.25 billion shares. He now controls about 9.28 billion shares, an addition of roughly 1.22 billion in three months. At Monday’s price that holding is worth close to ₦979 billion, about $709 million.

Where the sector now stands

Monday’s close leaves First HoldCo at the head of a banking table it sat well down only months ago. Stanbic IBTC Holdings ranked fourth by market value at ₦2.65 trillion, followed by United Bank for Africa at ₦2.14 trillion, Ecobank Transnational Incorporated at ₦1.56 trillion, Access Holdings at ₦1.39 trillion and Fidelity Bank at ₦1.38 trillion.

Holding the top position will be harder than reaching it. The margins over Zenith and GTCO are slim, and all three are competing for the same pool of investor capital as Nigerian banks work through the Central Bank of Nigeria’s recapitalisation programme, which has raised minimum capital requirements across the industry. First HoldCo’s ability to stay ahead will depend on sustaining earnings growth and continuing to improve asset quality through the second half.