Nigerian gambling magnate Kessington Adebutu sees $67 million drop in Wema Bank stake

Nigerian businessman Kessington Adebutu has recorded a decline in the market value of his holding in Wema Bank, one of the country’s prominent financial services institutions, with the position falling by $67.4 million (N92.6 billion) over the past 57 days. 

The decline in Wema Bank’s share price is largely linked to post-dividend profit-taking and broad-based sell-offs by institutional investors across banking stocks on the Nigerian Exchange (NGX).

Data tracked by Shore Africa shows Adebutu, founder of gaming company Premier Lotto, holds a 29.59% stake in Wema Bank through Neemtree Limited, a special-purpose investment vehicle set up in 2013. The stake represents 11.87 billion shares. 

The value of the holding has declined from N427.42 billion ($311.02 million) on April 29 to N334.81 billion ($243.63 million), reflecting the recent weakness in the bank’s share price.

The movement follows an earlier period in the year when the same stake gained more than $24 million in value.

Banking performance remains firm despite share fall

Despite the decline in market valuation, Wema Bank’s underlying financial performance continues to show steady growth. 

In its Q1 2026 unaudited results, the bank reported profit after tax of N63.13 billion ($46 million), up from N35.85 billion ($26.13 million) in the same period last year. Gross interest income rose to N179.96 billion ($131.11 million), compared with N110.08 billion ($80.21 million) in Q1 2025. 

Total assets also expanded to N5.23 trillion ($3.8 billion), up from N3.61 trillion ($2.63 billion) a year earlier, underscoring continued balance sheet growth. 

Wema Bank digital banking expansion

Wema Bank has developed into a key player in Nigeria’s financial sector over several decades. It operates ALAT, widely regarded as Africa’s first fully digital bank, and remains a significant presence in retail and commercial banking.  

In May, the lender marked the ninth anniversary of ALAT, reaffirming its focus on digital banking and wider access to financial services since its 2017 launch.

However, recent trading shows pressure on its stock. The share price fell 21.26% over the 57-day period, dropping from N36 ($0.026) to N28.20 ($0.02), contributing to a reduction in market capitalization to below $850 million. 

Even with recent price swings on the Nigerian Exchange, Adebutu remains the bank’s largest shareholder and continues to rank among the country’s most prominent investors on the local bourse.