Stake of Hyundai Automotive South Africa CEO Niall Lynch in Motus declines by $7.55 million

The stake of Hyundai Automotive South Africa CEO Niall Lynch in Motus Holdings has declined by $7.55 million (R108.83 million) in 25 days as shares in the South Africa-based company retreat from a 30-month high.

The $7.55-million loss came off the back of a sell-down in the company’s shares, as investors book profits from their stakes, leading the share price to retreat by 13-percent from a 30-month high of $6.904 (R99.50).

An earlier report revealed that the value of Lynch’s stake increased by $29.3 million in the first 160 days of 2021, as investors mop-up shares in expectation of headline earnings per share of more than $1 for the year through June 30, compared with $0.0296 last year. 

The bullish sentiment was strengthened by a potential merger between Motus Group Limited, North Motor Group’s Kia Bryanston and Honda Sandton Motor Dealerships.

Motus Group will acquire control of the target dealerships from North Motor Group.

As of press time, 7:00 AM (UTC), July 19, shares in the company were trading at $5.946 (R85.70) per share, up 53 percent from its opening price of $3.885 (R56.00) for the year.

Since June 24, Motus’ shares have lost 14 percent off their value due to a pullback in its price, as bargain hunters and wary investors book profits.

Lynch, a director at Motus Holdings and the CEO of Hyundai Automotive South Africa, holds a substantial stake in the South Africa-based automobile distributor.

Research by Billionaire.Africa revealed that the market value of his 7,886,000 shares in Motus declined from $54.44 million (R784.66 million) on June 24 to $46.89 million (R675.83 million) on July 19.

This translates to a loss of $7.55 million (R108.83 million) in 25 days.

Omokolade Ajayi
Omokolade Ajayi
Omokolade Ajayi is a financial reporter at Billionaires.Africa. Previously, he worked as a journalist at Nairametrics. Omokolade is a seasoned financial analyst and reporter with in-depth knowledge of and expertise in equity markets, and financial and economic analysis. He has a degree in economics and is a certificate holder of the CFA Institute’s Investment Foundation Program.

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