South African businessman Barry Swartzberg’s multimillion-dollar stake in Discovery Limited has slumped by R1.46 billion ($87.8 million) in the past 16 weeks, as shares in the leading financial services group fell by double digits percent on the Johannesburg Stock Exchange.
Discovery is a global financial services firm based in South Africa that specializes in long- and short-term insurance, asset management, savings, investment, and employee benefits.
Since Swartzberg and Adrian Gore founded the South African group in 1992, it has grown into a leading brand in the financial services industry, with active operations in South Africa and subsidiaries in the United Kingdom, United States, China, Singapore, and Australia.
Shares in the leading financial services group were trading at R126.42 ($7.627) as of press time on July 5, 2.67-percent lower than its opening price on the Johannesburg Stock Exchange, as investors continue to sell down stakes in the leading group.
Discovery shares have dropped from R182.8 ($11.02) on March 21 to R126.42 ($7.62) at the time of writing, representing a 30.84-percent gain for shareholders over the last 106 days.
Swartzberg, who owns 3.93 percent of Discovery Limited, has seen the market value of his stake fall from R4.72 billion ($284.77 million) on March 21 to R3.27 billion ($196.94 million) at the time of writing this report as a result of the sustained decline in the group’s shares.
This amounts to a total loss of R1.46 billion ($87.8 million) for the South African businessman over the past 16 weeks.
Recently, the prominent businessman pledged 5.5 million Discovery Limited shares worth R796.9 million ($52 million) as collateral for an R187-million ($12.2 million) financial obligation.