Africa’s wealthiest man Aliko Dangote has gained $1.6 billion from his stake in Dangote Cement Plc. Shares in the leading cement manufacturer have been on the rise since June 1. As of press time, 11:20 AM (UTC), July 26, shares were trading at their 39-month high.
Dangote, who is the founder of Africa’s most diversified manufacturing conglomerate, Dangote Industries Limited, holds a majority stake in the leading cement manufacturer.
Bullish sentiment spurred by investor buying interest in the company in reaction to a 30-percent rise in Q1 earnings and the renewal of its share buyback program by the Nigerian Securities and Exchange Commission led the market value of his equity position to increase by 17 percent.
Dangote Cement is Sub-Saharan Africa’s largest cement manufacturer. The company recorded a revenue of N332.65 billion ($808.64 million) in Q1 2021.
As of press time, 11:20 AM (UTC), July 26, shares in the cement manufacturer on the Nigerian bourse were trading at N248.00 ($0.6030), 1.27-percent higher than its opening price of N244.90 for the year.
Dangote Cement maintains its position as the largest listed entity on the exchange with a market capitalization of N4.23 trillion ($10.28 billion).
Since June 1, the share has increased from N212.50 ($0.5166) to N248.00 ($0.6030). This translates to a gain of 17 percent for shareholders in 55 days.
The billionaire, who owns an 86-percent majority interest in Dangote Cement, has seen his stake’s market value increase from N3.11 trillion ($7.57 billion) on June 1 to N3.63 trillion ($8.83 billion).
This translates to a N520.04-billion ($1.26 billion) gain for Dangote in 55 days following a 17-percent rise in the company’s shares.
Dangote derives the majority of his fortune from his stake in the cement company and the operations of subsidiaries of Dangote Industries.
According to Bloomberg, the billionaire is worth $18.1 billion, making him the wealthiest man in Africa ahead of South African Johann Rupert, who is worth $10.1 billion.