Nigerian billionaire Abdul Samad Rabiu has seen his stake in BUA Foods Plc, a recently consolidated Lagos-based food giant that went public earlier this year, increase by a whopping $313 million in the past 50 days.
BUA Foods is the Nigerian-based BUA Group’s unified food business segment. BUA Sugar Refinery Limited, BUA Oil Mills Limited, IRS Flour, IRS Pasta, and BUA Rice Limited are some of its subsidiaries.
Rabiu, the chairman of BUA Group, one of Africa’s fastest-growing manufacturing conglomerates, and his son, Isyaku Naziru Rabiu, own 99.8 percent of BUA Foods. The stake, which is presently worth more than $2.4 billion, accounts for a sizable portion of his $4.9-billion net worth.
Since Aug. 4, shares in BUA Foods on the Nigerian Exchange have increased by 14.76 percent, from N50.8 ($0.1181) exactly 50 days ago, to N58.3 ($0.135), as investors on the Nigerian Exchange renewed buying interest after the food business posted a strong financial performance in the first half of 2022.
According to data from BUA Foods’ half-year earnings report, the company’s profit in the first six months of 2022 increased by 13.72 percent to N39.3 billion ($94.4 million), up from N34.56 billion ($83 million) in the same period last year.
The market value of Rabiu’s stake in the leading food company rose by N134.73 billion ($313.2 million) at the time of writing this report, from N912.57 million ($2.12 billion) to N1.047 billion ($2.43 billion), as a result of the recent spike in BUA Foods’ share price, which was fueled by investors’ reaction to its first-half earnings figures.
The surge in the market value of his stake in BUA Foods cements his position as not only one of the wealthiest businessmen in Nigeria but as one of the richest billionaires on the African continent.
Recent events include the resignation of his son, Isyaku Naziru Rabiu, from the board of directors of BUA Foods.
His resignation became effective on Aug. 17, according to a notification posted on the Nigerian Exchange by the food company. The exit is in line with the bourse’s listing regulations, which state that no more than two family members can hold office on the board of a publicly traded company at the same time.