Femi Otedola Opens Up on Losing N200 Billion in Oil Crash and Financial Missteps

Nigerian billionaire businessman Femi Otedola has revealed the darkest chapter of his career, recounting how a series of financial missteps and a devastating global oil crash nearly wiped out his empire. In his newly released memoir, Otedola: An Autobiography, the energy magnate offers a rare and unfiltered account of how his company, Zenon Petroleum & Gas, collapsed under the weight of collapsing crude prices, mounting debt, and missed opportunities.

The memoir, released on August 18, 2025, provides an intimate look at the rise, fall, and eventual resurgence of one of Africa’s most prominent businessmen.

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A Gamble Gone Wrong

According to Otedola, his troubles began in 2008, a year that brought both immense promise and eventual disaster. Global oil prices had soared to $147 per barrel, creating what seemed like a golden opportunity for traders. Convinced that the rally would continue, he made what he now describes as a fateful decision — placing a $500 million order of diesel for importation into Nigeria.

But within weeks, the market collapsed. Oil prices plunged to $37 per barrel, erasing billions of dollars in value.

“The diesel I’d ordered when the price was astronomically higher was already on the high seas,” he recounted. “Now, it was worth a fraction of my purchase price. I said to myself, I’m finished.”

This sudden reversal left Zenon Petroleum exposed. Instead of profiting from the oil boom, Otedola was saddled with fuel shipments that were worth far less than what he had paid.

The Double Blow of Currency Devaluation

As if the crash in oil prices was not catastrophic enough, Nigeria’s foreign exchange crisis added salt to the wound. With oil revenues collapsing, the Central Bank of Nigeria devalued the naira, instantly inflating foreign-denominated debts.

Otedola explained that he had secured loans when the exchange rate was ₦117 per dollar, but repayment obligations came when the rate had risen to ₦165 per dollar.

“I watched ₦60 billion evaporate before my eyes, alongside ₦40 billion in interest payments,” he said.

In total, he lost ₦100 billion in just one swoop, a financial earthquake that would cripple most companies.

The Missed Exit in the Stock Market

At the time of the oil crash, Otedola was also heavily invested in Nigeria’s banking sector. He held 2.3 billion shares in Zenith Bank, representing about 8% ownership, and another 6% stake in UBA. His entry price for Zenith shares was ₦12 per share, and at their peak, the stock hit ₦60 per share.

Had he sold, he would have pocketed a staggering ₦191 billion profit. But Otedola admitted he held on too long, convinced that the bullish run would continue.

Then came the global financial crisis, which triggered a massive sell-off in global equities, including Nigeria’s stock market. His once-valuable holdings collapsed in value, leaving him with “next to nothing.”

“It remains one of my biggest regrets,” he confessed. “If only I had followed my instincts.”

Drowning in Debt

By the end of the crisis, Otedola’s total debt had ballooned to ₦220 billion, leaving him with few viable options. His lenders tightened repayment demands, while his assets continued to lose value.

“It was the perfect storm — collapsing oil, a weak currency, and a crashing stock market,” he wrote. “I was drowning.”

The AMCON Lifeline

Salvation came in the form of the Asset Management Corporation of Nigeria (AMCON), a government entity set up to stabilize the financial sector by absorbing bad loans from commercial banks.

In a deal with AMCON, Otedola surrendered a vast portfolio of assets, including luxury estates in Lagos, Abuja, and Port Harcourt; truck parks; filling stations nationwide; massive oil storage facilities in Apapa; as well as significant shares in banks and oil companies. Even his prized Bombardier private jet was forfeited.

“It was a lifeboat in the storm,” Otedola admitted. “I had to concede that if you sink, you sink, and if you grab a preserver, you’ll stay afloat. I gave it all up to start anew.”

Lessons from the Fall

Looking back, Otedola described the experience as both humbling and transformational. Losing nearly everything forced him to reset his life, re-examine his approach to risk, and rebuild from scratch with a stronger sense of discipline.

“The fall was painful, but it was also necessary,” he reflected. “It taught me humility, resilience, and the importance of timing in business.”

 Triumphant Return

Today, Otedola has reclaimed his place as one of Nigeria’s most influential investors. He currently serves as the Chairman of FBN Holdings Plc, parent company of First Bank of Nigeria, and has diversified his investments into various sectors.

His return to prominence, however, is not what he considers his greatest achievement. Instead, it is the lessons he shares in his autobiography — cautionary tales for young entrepreneurs and reminders that even billionaires are not immune to the unforgiving nature of global markets.

Otedola’s memoir, titled Making it Big, was released on August 18, 2025, and is now available for purchase. The book offers not only an insider’s look at Nigeria’s business and financial landscape but also a personal story of ambition, hubris, loss, and redemption.

Through its pages, Otedola reminds readers that wealth can vanish as quickly as it is made, and that the true measure of success is not how high one climbs, but how one rises after a fall.

For Otedola, the near-collapse of his empire is no longer a source of shame but a badge of survival. And for readers, it is a gripping lesson in the risks of overconfidence, the brutality of market forces, and the resilience required to rebuild against the odds.