In a landmark transaction reshaping Nigeria's financial landscape, First Bank of Nigeria's parent company, First HoldCo Plc, has finalized the sale of its investment banking subsidiary to a new owner.
Completion of Strategic Divestment
First HoldCo Plc confirmed it has completed the sale of its entire stake in FBNQuest Merchant Bank Limited to EverQuest Acquisition LLP. The announcement came through an official statement released by Abiola Baruwa, the group company secretary, following months of negotiations that began in 2024.
The transaction received necessary regulatory approvals from the Central Bank of Nigeria, bringing closure to one of the most notable corporate deals in the Nigerian banking sector in recent times. Baruwa emphasized that the divestment aligns with the Nigerian Exchange Limited Rulebook requirements for market notification.
Strategic Restructuring Behind the Sale
This sale represents more than just a transfer of ownership—it signifies a comprehensive strategic shift for First HoldCo. The move is part of a long-term corporate restructuring plan designed to optimize the group's portfolio by focusing on core banking services while divesting segments that don't directly support its growth vision.
Industry analysts view this as a calculated realignment reflecting increasing competition in Nigeria's financial services sector. The banking industry faces mounting pressure to innovate, expand capital buffers, and consolidate operations, making such strategic moves essential for maintaining market dominance.
New Ownership and Future Prospects
EverQuest Acquisition LLP emerged victorious from what insiders described as a competitive selection process. The consortium includes prominent players such as Custodian Investments Plc, Aion Investments, and Evercorp Industries, combining expertise that promises fresh capacity and new strategies for FBNQuest's future growth.
The original sale agreement was announced in September 2024, with industry watchers closely monitoring developments until this final completion. With the deal now sealed, FBNQuest will operate independently under new ownership while First HoldCo strengthens its primary banking operations.
This transaction marks a significant milestone in Nigeria's evolving banking sector, demonstrating how corporate restructuring continues to reshape the financial services landscape amid changing market dynamics and competitive pressures.
