Ecobank urges First Bank to reject Oba Otudeko’s 4.7bn shares acquisition  

Ecobank Nigeria Limited has issued a written communication to FBN Holdings Plc, the parent company of First Bank of Nigeria Limited, requesting a temporary suspension of proceedings concerning the acquisition of 4.77 billion shares by Dr Oba Otudeko, Chairman of Honeywell Group.

Last week Thursday, Honeywell Group, led by Oba Otudeko, made a substantial purchase of 4,770,269,843 company shares through a cross-deal, amounting to N87.8 billion.

Acquired at N19 per unit, the shares contribute to Otudeko’s overall ownership, reaching 14 per cent of the bank’s total market value.

As per the disclosed letter, the legal dispute between Otudeko and the bank revolves around the objective of recovering the outstanding debts owed by Otudeko and his business entities.

In a correspondence dated July 7, the legal counsel for the bank, Kunle Ogunba & Associates, expressed concerns regarding the indebtedness of the business magnate and his affiliated entities.

According to the letter signed by Oludare Amusan, the Principal Partner of the law firm, the bank highlighted that the total amount owed by the magnate through his affiliated entities was N13.5 billion