An investment firm, Barbican Capital Ltd, has initiated legal action against First Bank Nigeria Holdings (FBNH) in the Federal High Court in Lagos, alleging the bank altered its shareholdings.
The case, filed under suit number FHC/L/CS/1172/24 by Bode Olanipekun, SAN, claims that Barbican Capital has cumulatively acquired approximately 5.4 billion shares, constituting 15.1% of FBNH's total shares listed on the Nigerian Stock Exchange.
Barbican asserts that its share purchases and their issuance dates were accurately recorded by FBNH's appointed registrars, Meristem Registrar and Probate Service Ltd, and acknowledged by the Central Securities Clearing System (CSCS), which reflects the value of its shares with the bank.
The firm noted that FBNH's Unaudited Consolidated Financial Statement for the year ending December 31, 2023, recognized its significant shareholding, accounting for 13.61% of the bank's total shares.
The firm, owned by Oba Otudeko, claims it received dividend payments for its shares between November and December 2023, covering the full year ending December 31, 2022.
However, it expressed shock when, in May 2024, FBNH reported a reduction in its shareholdings to approximately 3.1 billion shares, or 8.6% of the bank's total.
Barbican Capital contends it has never divested its shares to any third party and disputes the share value reported by FBNH in its Unaudited Financial Statement for the year ending March 31, 2024, which contradicts the CSCS statement indicating an appreciation of its shares to 5.4 billion.
The firm claims to have attempted to alert FBNH about the alleged alteration of its shares, but the bank attributed the discrepancies to the Central Bank of Nigeria (CBN).
During the latest court hearing on July 19, 2024, FBNH's counsel, Buchi Obulue, requested to join the CBN in the lawsuit, a motion that was granted by the court.
The case is scheduled for further hearing on October 2, 2024.
