Egypt’s billionaire El-Sewedy family suffers $50 million loss from El Sewedy Electric stake

The El-Sewedy family, one of Egypt’s wealthiest families, has seen the market value of their joint stake in Elsewedy Electric fall by more than $50 million in the past 25 days, owing to profit-taking and portfolio-rotation activities on the Egyptian Stock Exchange.

The recent drop in the market value of their holdings can be attributed to a single-digit decline in the company’s shares. This occurred as investors booked profits on their positions and moved funds back to safety amid growing economic uncertainty.

Since June 19, El Sewedy Electric shares on the Egyptian Exchange have dropped by EGP2.31 billion ($74.8 million), from EGP20.0 ($0.65) to EGP18.94 ($0.61) at the time of reporting, resulting in a 5.3-percentage loss for shareholders during the 25-day period.

As a result of the price drop, the market value of the family’s joint shareholding fell from EGP29.6 billion ($957.1 million) to EGP28.0 billion ($906.4 million) between June 19 and July 14. This amounts to a loss of EGP1.57 billion ($50.7 million) for the family in 25 days.

Elsewedy Electric is an Egyptian international electrical corporation established in 1938 by the Elsewedy family. The firm, led by Ahmed El-Sewedy, presently has total assets of EGP 67.7 billion ($4.3 billion) spread across 15 countries.

The El-Sewedy family, represented by Sadek, Ahmed, and Mohammed Elsewedy, owns 68 percent of the corporation, or 1,478,689,860 ordinary shares.

Nearly six months ago, Billionaires.Africa reported that the company secured a $176.10-million engineering, procurement, and construction (EPC) contract with Al Ghazala Energy Company to construct a 300-MW solar power station in Saudi Arabia, demonstrating its dedication to the advancement of renewable energy and sustainable development.

Dubbed “The Saad Project,” this ambitious undertaking, which aligns with the Saudi government’s ambitious goal of achieving renewable energy targets by 2050, will consist of three 100 MW solar PV power plants, providing clean and renewable energy to homes and businesses in the region.