Business News

Femi Otedola reaches out-of-court settlement with Jim Ovia’s Zenith Bank

Femi and Jim Ovia

Nairametrics can confirm that Femi Otedola, chairman of FBN Holdings and principal owner of Geregu Power, has settled his dispute against Zenith Bank, which was previously filed before a Federal High Court.

According to our sources, Otedola’s withdrawal from the court case follows a recent understanding between the billionaire and the founder of Zenith Bank, Jim Ovia, after representatives from both parties attempted to settle the matter.

Nairametrics previously reported that Otedola had made several allegations against the bank about Zenon Petroleum & Gas, and other related firms. Some of the allegations were widely reported by the media.

Notice of Discontinuance

According to Premium Times, which first reported the dispute and the subsequent resolution, court papers revealed that the Federal High Court of Nigeria, Lagos Division, dismissed the case on Thursday, 13 June.

  • This decision came after the court received a notice of discontinuance from the plaintiffs, who had initially filed the suit against the lender on 12 March.
  • The plaintiffs in the case were Zenon Petroleum & Gas Limited, Seaforce Shipping Co. Limited, Luzon Oil & Gas Limited, Garment Care, and Mr. Otedola.
  • The defendants were Zenith Bank, Quantum Zenith Securities & Investment Limited, Veritas Registrars Limited, and Central Securities Clearing System Plc.

Reliable sources informed Nairametrics that both parties agreed to settle the matter out of court following a high-level meeting between top representatives of both sides. This led to an out-of-court settlement, which the judge eventually endorsed.

Nairametrics also gathers that the dispute has now ended with the settlement reached and the case being withdrawn from the court. The ability of both parties to settle the issue amicably and out of court is a significant boost to dispute resolution processes, especially given the speed at which the matter was resolved.

About Otedola & Ovia

Femi Otedola, a prominent Nigerian businessman, has made significant strides in the country’s financial and energy sectors.

  • As the chairman of FBN Holdings and the principal owner of Geregu Power, Otedola has established himself as a key player in the corporate world.
  • His ventures span various industries, demonstrating his versatility and strategic acumen. Otedola was recently included as one of the only 4 people on the Forbes List of Billionaires from Nigeria.
  • Jim Ovia, the founder of Zenith Bank, is a revered figure in Nigeria’s banking industry. His vision and leadership have propelled Zenith Bank to become one of the largest and most profitable banks in the country.
  • Ovia was recently appointed as the Chairman of the Board of the Nigerian Education Loan Fund (NELFUND) by President Tinubu.
  • Zenith Bank shares closed at N33 on Thursday, down 1.5%. The stock is currently 14.6% year-to-date. Geregu Power shares closed at N1,000 and is up 150% year to date.

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