Africa’s wealthiest man Aliko Dangote has recorded a sudden loss in his wealth on Aug. 31, following an unexpected 2.64-percent drop in the market value of Dangote Cement, triggering an investor sell-off.
Dangote Cement is a subsidiary of Dangote Industries Limited, Africa’s most diversified manufacturing conglomerate. The industrialist founded the company and generated the majority of his earnings from the giant cement maker.
Dangote holds an 86-percent majority interest in the cement business.
The billionaire therefore lost N95.35 billion ($232 million) within 24 hours following a total loss of N112.46 billion ($274 million) for shareholders of the cement behemoth in 24 hours.
The plunge in the company’s value was triggered by a frenzied sell-off of shares by investors at N243 ($0.59) per share compared to the N249.6 ($0.61) per share traded on the Nigerian Exchange (NGX) on Friday last week.
Despite the significant loss recorded by the billionaire, he remains Africa’s wealthiest man. Dangote’s estimated net worth on the Forbes real-time ranking is $12.3 billion as of press time, 8:41 AM (UTC).
Dangote Cement is the largest listed entity on the exchange, with an N4.14 trillion ($10.08 billion) market capitalization, as of press time. It currently trades its 17,040,507,405 shares with the ticker symbol, DANGCEM.
Recently, it listed three tranches of N50-billion ($122 million) bonds under its N300-billion ($731 million) debt issuance program on the Nigerian bourse.
The listing followed an earlier announcement that it successfully issued N50-billion ($122 million) Series-1 fixed-rate senior unsecured bonds, the first made under its new N300-billion ($731 million) multi-instrument issuance program.