South African businessman Stephen Brookes has suffered significant financial losses in the past 110 days from his stake in Johannesburg-based property developer Balwin Properties.
Since April 5, Brookes’ stake in Balwin Properties’ has declined by $5.8 million, adding to the significant losses he suffered earlier this year in the first quarter when shares in the property developer declined from R3.40 ($0.189) to R2.51 ($0.140).
Balwin Properties, known for its large-scale estates catering to South Africa’s low-to-middle-income population, prides itself on providing affordable and environmentally efficient apartments with innovative lifestyle offerings for residents.
Brookes, a South African real estate mogul who founded Balwin Properties in 1996, is the company’s largest shareholder, holding 170,374,031 shares, or a 36.08-percent stake.
However, the company has faced a challenging period in the market, resulting in substantial losses for its shareholders, especially Brookes, who is one of the richest investors on the Johannesburg Stock Exchange.
Since April 5, the share price of Balwin Properties has declined by 19.49 percent, falling from R3.13 ($0.174) on April 15 to R2.52 ($0.140) on July 24, thus pushing the group’s market capitalization below $73 million.
As a result of the recent slump in the company’s shares over the past 110 days, the market value of Brookes’ stake in Balwin Properties has declined by R103.9 million ($5.78 million) over the past 110 days
According to data tracked by Billionaires.Africa, his stake in the Johannesburg-based property developer has declined from R533.27 million ($29.66 million) on April 5 to R429.34 million ($23.88 million) at the time of writing.
