The Nigerian Securities and Exchange Commission (SEC) has confirmed that its “no objection” approval of First HoldCo Plc’s July 16 N323 billion off-market share transaction complied fully with regulatory standards—promptly dismissing suggestions of wrongdoing or market manipulation. In a statement issued by SEC spokesperson Efe Ebelo, the Commission clarified that the decision followed all relevant laws and regulations, and that its communications with the involved parties were part of standard automated compliance procedures rather than formal queries.
The controversial transaction saw RC Investment Management Limited buy 10.43 billion shares—about 25 percent of First HoldCo—from entities affiliated with Oba Otudeko and Tunde Hassan‑Odukale in seventeen negotiated trades executed at ₦31 per share across the floor of the Nigerian Exchange Plc. Despite swirling speculation implicating billionaire Femi Otedola or even the federal government, both First HoldCo and the Federal Government have emphatically denied involvement.
First HoldCo’s company secretary described media reports linking Otedola or government entities to the deal as “sensational distortion” and “misrepresentation,” asking the press to adhere to journalistic standards and avoid undermining market confidence. The Attorney General also issued a denial, labeling published claims of federal government involvement as “inaccurate, misleading and malicious.”
Media watchdogs such as THISDAY and Arise TV countered that First HoldCo breached NGX disclosure rules by failing to fully report the share acquisition, which should have triggered mandatory declarations under the NGX’s beneficial ownership thresholds for deals exceeding five percent. They further cited provisions of the SEC’s issuer-disclosure obligations and Nigeria’s BOFIA law.
SEC’s official position frames its clearance as compliant with legal standards, with no further requests for clarification from the Central Bank of Nigeria following the transaction. The Commission emphasized that its protocols are designed to preserve transparency and investor protection—rejecting characterizations of regulatory inaction.
In summary, SEC’s review concluded that the First HoldCo deal adhered to existing capital market regulations. While media scrutiny and calls for more transparency continue, regulatory authorities maintain that oversight processes were meticulously followed, and no violation or irregularity was detected.
Credit: Punch news
