FBN Holdings Plc, has invested N25 billion as equity into First Bank to boost its capital after restructuring its loan book.
The money is the proceed from the sale of its life insurance company.
Chief Executive Officer Urum Kalu Eke said FBN Holdings sold its 65 per cent stake in FBN Insurance to South Africa’s Sanlam Emerging Markets, a minority investor in the business.
First Bank had restructured 15 per cent of its N1.759 trillion loan book by the end of the first half, up from 6 per cent three months previously, its chief risk officer said. “We don’t see so much deterioration towards year end,” Olusegun Alebiosu told an analysts’ call, adding that the bank’s exposure to the tourism and aviation sectors most impacted by the COVID-19 pandemic was around $10 million.