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Egypt’s wealthy Khamis family has recorded a boost of EGP188.16 million ($11.98 million) to their net worth in the past three days, as shares in Oriental Weavers surged by a single digit on the back of sustained investor buying interest.
Oriental Weavers is the world’s largest manufacturer of machine-made carpets, with production facilities in three countries. The Egypt-based carpet manufacturer distributes its products across roughly 150 countries worldwide.
As of press time, Dec. 24, shares in the leading carpet manufacturer were trading at EGP8.72 ($0.555) on the Egyptian Stock Exchange, giving the company a EGP5.8-billion ($369.12 million) market capitalization.
The Khamis family currently holds a 56.58-percent majority stake in the carpet company with Farida Khamis, Yasmine Khamis, Milo Slava Khamis and Amir Khamis playing significant roles in the running of the business.
The multimillion-dollar gain in their stake can be linked to a surge in its stock price, as investors increased their shareholdings in the company in reaction to its robust financial results and its plans to scale up its operations through strategic investments and divestments.
Research conducted by Billionaires.Africa revealed that the company’s share price on the local bourse has risen from EGP8.22 ($0.523) on Dec. 21 to EGP8.72 ($0.555) at the time of drafting this report. This translates to a 6.1-percent gain for shareholders.
As a result, the market value of the Khamis stake has increased from EGP3.09 billion ($196.89 million) on Dec. 21 to EGP3.28 billion ($208.87 million) on Dec. 24. This accrued total gains of EGP188.16 million ($11.98 million) for the wealthy family in the past three days.
The recent surge in the market value of their stake be linked to a 26-percent increase in the company’s revenue in the first nine months of 2021 from EGP6.7 billion ($424.r million) to EGP8.4 billion ($534.6 million) and a 58-percent surge in its earnings to EGP960 million ($61.1 million).
Oriental Weavers also disclosed that the company will spend $15 million to equip some factories with new looms and machines and raise efficiency to increase production. This lags the company’s investment and expansion plans in 2021, the costs of which are expected to reach $26 million.
