Egyptian businessman Safwan Thabet has seen the market value of his investment in Juhayna Food Industries drop by $39 million over the previous 139 days, as the share price of the Egyptian dairy, juice, and cooking items maker continues to fall on the Egyptian Exchange.
Through Pharon Investments Limited, an offshore company incorporated in the British Virgin Islands, Thabet, a prominent Egyptian businessman who started the Egyptian-based consumer goods producer about 38 years ago, holds the majority 50.07 percent of the company.
Due to the sale of overpriced and overvalued shares on the local exchange, Juhayna Food Industries’ share price has dropped by double digits in the last 139 days, falling from EGP8.85 ($0.45) per share on May 24 to EGP7.22 ($0.367) per share at the time of writing this article.
The decline in the market value of his stake can be attributed to selling pressures on the Egyptian Exchange as investors continued to reduce equity exposure as the Central Bank of Egypt maintained its commitment to achieving low and stable price levels over the medium term – a necessary condition for sustainable economic growth.
Due to the sell-off of overpriced and overvalued shares on the local bourse, the share price of Juhayna Food Industries has dropped by double digits in the past 139 days, falling from EGP8.85 ($0.45) per share on May 24 to EGP7.22 ($0.367) per share at the time of drafting this report.
According to recent research by Billionaires.Africa, Thabet’s 50.07-percent stake in Juhayna has declined significantly in value, by EGP768.3 million ($39.07 million) in the past 139 days, from EGP4.17 billion ($212.13 million) on May 24 to EGP3.4 billion ($173.06 million) on Oct. 10.
Despite the slump in the market value of Thabet’s stake and the decline in the share price of Juhayna, the businessman remains one of the richest investors on the Egyptian Exchange and one of the wealthiest Egyptian tycoons with active business interests in the consumer goods industry.