Nigerian banking tycoon Tony Elumelu gains $3.7 million from stake in UBA since start of 2022

Tony Elumelu, a Nigerian businessman, has earned a total of N1.55 billion ($3.72 million) through his stake in United Bank for Africa Plc (UBA), one of Nigeria’s leading financial services organizations, since the beginning of 2022.

Elumelu, the founder of Heirs Holdings and Transcorp, a publicly traded Nigerian conglomerate with interests in hospitality, agriculture, oil production and power generation, was instrumental in transforming UBA into a pan-African financial services group with operations in 20 African countries, as well as the United Kingdom, United States and France.

The Nigerian multimillionaire, who recently made public his interest in investing in the Caribbean, owns a sizable 6.96-percent stake in the pan-African banking organization, valued at N2061 billion ($49.5 million) at the time of writing.

The recent increase in the market value of his shareholding may be attributed to a single-digit percentage gain in UBA’s share price, which was caused by its robust financial performance at the end of 2021, and expectations of stronger financial results at the end of 2022.

Shares in the tier-1 lender were valued at N8.65 ($0.02079) per share as of press time on March 20, 1.76-percent higher than its starting price on the Nigerian Exchange last Fri., March 18.

UBA was the tenth most traded stock on the local exchange over the previous three months, with a total volume of 750 million shares moved in 11,063 transactions valued at N6.31 billion ($15.17 million) during the period.

Since the bank’s inception this year, the share price has risen from N8 ($0.01923) on Jan. 1 to N8.65 ($0.02079) as of the time of writing, representing an 8.13-percent return for the tycoon.

The market value of his stock has climbed from N19.04 billion ($45.8 million) at the start of the year to N20.59 billion ($49.5 million) at the time of writing, owing to the jump in the bank’s shares.

Since the start of the year, the multimillionaire businessman has made a total profit of N1.55 billion ($3.72 million).