Egyptian billionaire Ghabbour family suffers $10.6-million loss from GB Corp stake

Yusuf Abdulfatai -

The Egyptian billionaire Ghabbour family has seen the market value of their equity stake in GB Corp slump by more than $10 million in just 23 days, driven by the sudden slump in the shares of the leading conglomerate on the Egyptian Exchange.

Data gathered by Billionaires.Africa revealed that the Ghabbour family’s stake in GB Corp has decreased by EGP 334.56 million ($10.63 million) since Aug. 2 as investors on the local bourse continue to reduce their stakes in the Cairo-based automaker.

Founded by the late Egyptian auto tycoon Raouf Ghabbour in 1985, GB Corp has emerged as a leading automobile distributor and assembler in the Middle East and North Africa.

Under the family’s leadership, the Egypt-based automaker has undertaken substantial expansion, recently culminating in a rebranding initiative to unite subsidiaries of the group, including GB Auto, GB Capital, GB Logistics, GB Ventures, GB Academy, and the Ghabbour Foundation for Development.

The Ghabbour family presently holds a significant 62.9-percent stake in the automaker, equivalent to 682,779,500 ordinary shares, solidifying their position as one of the wealthiest investors on the Egyptian Exchange.

Since Aug. 2, GB Corp on the Egyptian Exchange has slumped by 7.22 percent, declining from EGP6.79 ($0.2198) on Aug. 2 to EGP6.30 ($0.2039) at the time of writing, thus leading to losses amounting to millions of dollars for its shareholders, including the affluent Ghabbour family.

As a result of the single-digit percent slump in the group’s share price, the market value of the stake held by the affluent Ghabbour family has slumped by EGP334.56 million ($10.63 million) in a span of 22 days, from EGP4.64 billion ($149.76 million) on Aug. 2 to EGP4.30 billion ($139.13 million) at the time of writing.

The recent slump in the market value of their shares underlines the inherent volatility of the investment landscape, serving as a reminder of the fluctuating nature of wealth in a rapidly evolving industry.