Tunisian multimillionaire businessman Habib Essayeh’s initial gains at the start of the year have been offset by a substantial drop in the market value of his stake in Euro-Cycles S.A over the past few weeks, resulting in a total loss of $5.9 million for the prominent businessman since the start of the year.
According to data tracked by Billionaires.Africa, Euro-Cycles S.A, a leading Tunisian automotive company, has seen its share price fall by nearly 22 percent since the start of the year, falling from TND25.2 ($8.25) on Jan. 1 to TND19.7 ($6.45) on April 4, further lowering the company’s market capitalization below TND200 million ($65 million).
The 22-percent drop in Euro-Cycles shares caused by bearish sentiment on the Tunis Stock Exchange has reduced the market value of Habib Essayeh’s stake by TND18 million ($5.9 million) since the beginning of the year, from TND82.4 million at the beginning of the year to TND64.4 million ($21.1 million) at the time of writing this report.
Despite the $5.9-million slump in the market value of his stake, Essayeh remains one of the Tunis Stock Exchange’s wealthiest investors.
What you should know about Euro-Cycles and Habib Essayeh
Euro-Cycles is a reputable Tunisian automotive company that specializes in the production of customized bicycles and cycles for export only. They cater to a diverse range of customers by producing beginner and midrange bikes to their specifications.
The company’s CEO, Habib Essayeh, owns a significant 33.6-percent stake in the bike maker, making him not only the largest shareholder in the company but also one of the wealthiest investors on the Tunis Stock Exchange.
Despite a double-digit percent increase in revenue from TND70.1 million ($23 million) in 2021 to TND86.97 million ($28.5 million) in 2022, the company’s profit at the end of the first half of its 2022 fiscal year fell by 26.7 percent from TND13 million ($4.26 million) in the first half of 2021 to TND9.53 million ($3.12 million) in the first half of 2022, owing to rising costs and higher operating expenses.