Malawian tycoon Hitesh Anadkat’s stake in FMB Capital Holdings gains $27.12 million in 89 days

The shares of Malawian multimillionaire Hitesh Anadkat in the Mauritius-based financial services group FMB Capital Holdings has increased by $27.12 million (MWK21.74 billion) since April 1.

The increase in the market value of Anadkat’s stake can be linked to gains in the financial services group’s shares on the Malawi Stock Exchange, as investors sustain buying interest in the company.

The 92-percent surge in the share price and valuation of FMB Capital Holdings is linked to its impressive performance in 2020, despite disruptions caused by the COVID-19 pandemic, which negatively impacted its operating environment. This spiked investor interest in the company, leading to sustained buying activity.

Shares in FMB Capital Holdings have increased from $0.034 (MWK27.12) on April 1 to $0.065 (MWK52.02) on June 29.

This translates to a 92-percent increase in its share price on the Malawian bourse and a $76.36-million (MWK61.21 billion) increase in its market capitalization in 89 days.

At the current price, the market capitalization of FMB Capital Holdings is valued at $159.53 million (MWK127.88 billion).

At the end of 2020, FMB Capital Holdings posted profits after tax of $21.3 million, which represents a significant improvement compared to the previous year’s losses of $18.6 million.

Anadkat founded FMB Capital Holdings in 1995. He is a substantial shareholder in the company, with a stake of 35.51 percent.

His position in the group, which amounts to 872,924,575 ordinary shares, has increased in value by 92 percent since April 1.

The market value of his stake has increased from $29.53 million (MWK23.67 billion) to $56.65 million (MWK45.41 billion) between April 1 and June 29.

This translates to a gain of $27.12 million (MWK21.74 billion) for the banker in 89 days.