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Hisham Talaat Moustafa, an Egyptian real estate magnate, has seen the market value of his stake in his real estate firm Talaat Moustafa Group Holding (TMG Holding) fall by $12.47 million in the past 12 days.
The multimillion-dollar loss follows a double-digit percentage drop in the value of the Egyptian pound as a result of the Ukraine crisis, which has caused a dollar flight from the North African economy.
TMG is a major player in Egypt’s real estate market. Founded in 1974 by the late Talaat Moustafa, the company has grown to become one of Egypt’s leading real estate holdings under Hisham Talaat Moustafa’s leadership.
The businessman controls a 43.16-percent stake in the real estate conglomerate.
Moustafa, one of the Egyptian Stock Exchange’s wealthiest investors, would have seen the market value of his share rise by $65.2 million in the past week if the Egyptian pound had held its value versus the U.S. dollar.
Egypt’s pound has fallen by about 15 percent following weeks of currency pressure as foreign investors withdrew billions of dollars from Egyptian treasury markets in response to Russia’s invasion of Ukraine.
The Egyptian pound has dropped EGP15.7-18.55 versus the dollar in the past 24 hours, according to data gathered from XE, a Canada-based online foreign exchange tools, and services firm.
Instead of realizing dollarized profits from his position in TMG Holding when shares in the real estate firm climbed by 14 percent, the Egyptian businessman saw the market value of his holdings fall by $12.47 million due to the Egyptian pound’s 14.67 percent depreciation.
Data retrieved by Billionaires.Africa revealed that the market value of his 43.16-percent share in TMG Holding has fallen from $444.48 million at the start of business on March 15 to $432.01 million at the closure of the Egyptian exchange this evening.
