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After earning more than $40 million in profit in the first four months of 2022, Moroccan real estate billionaire Alami Lazraq has lost MAD251.3 million ($25 million) on the market value of his stake in Casablanca-based property developer Alliances Developpement Immobilier SA (ADI) in the past 55 days.
ADI is an active member of the Alliances Group, a Casablanca-based holding company with a diverse portfolio of African real estate assets.
Lazraq, who founded Alliances Group in 1994, owns 51.7 percent of the group’s publicly traded subsidiary, ADI. At the time of writing, his stake amounted to 11,410,669 ordinary shares, worth more than $60 million.
The $25-million drop in the market value of his stake over the past 55 days can be attributed to recent market reactions to risky assets, as investors reduced their stakes in equities as part of the move to preserve wealth and focus on core assets with a proven inflation hedge.
The leading property developer’s shares were worth MAD54.53 ($5.426) as of June 28, 5.98-percent less than their opening price on the Casablanca bourse this week.
In recent times, ADI’s share price has fallen from MAD76.55 ($7.62) on May 4 to MAD54.53 ($5.426) on June 28, resulting in a 28.8-percent loss for shareholders over the past 55 days.
As a result of the recent price slump, Lazraq, who played a seminal role in the growth of Alliances Group into a leading real estate group in the Maghreb region, has seen the market value of his stake decline by MAD251.3 million ($25 million) in the past 55 days.
According to data obtained by Billionaires.Africa, the market value of his stake has decreased from MAD873.5 million ($86.91 million) on May 4 to MAD622.22 million ($61.9 million) at the time of writing this report.
Despite the recent decline in Lazraq’s stake in ADI, the prominent businessman is one of the few investors on the local stock exchange who have gained more than $20 million from their investments since the start of the year.
