The family of the late Kenyan tycoon Naushad Merali has suffered another financial setback as the market value of their stake in Sasini Tea slumped by more than $3 million in just 21 days due to the recent decline in the shares of the leading agribusiness company.
According to data tracked by Billionaires.Africa, the Merali family has seen the market value of their shares in Sasini drop by Ksh462.95 million ($3.15 million) in the past 21 days due to a sustained plunge in the company’s shares on the Nairobi Securities Exchange.
Sasini, a renowned agribusiness firm in Kenya, operates across the country, cultivating and processing tea, coffee, avocado, and macadamia nuts. The company also focuses on value-added production for both domestic and international markets.
With a majority stake of 65.46 percent, Kenya’s Merali family holds the largest share in Sasini Tea. This stake, worth over $23 million, makes the family one of the richest families in Kenya and East Africa.
The agribusiness company, which operates tea warehousing facilities in the coastal city of Mombasa, has recently faced a challenging period, resulting in huge losses for shareholders, including the Merali family — one of the richest investors on the local bourse.
In the past 21 days, Sasini’s share price has declined by more than 11 percent, falling from Ksh26.2 ($0.178) on Aug. 26 to Ksh23.1 ($0.1573) at the time of reporting. This significant slump in the company’s share price has pulled its market capitalization below the $35 million mark.
As a result of the recent decline in the company’s shares, the market value of the stake held by the family has fallen by Ksh462.95 million ($3.2 million), from Ksh3.91 billion ($26.64 million) on Aug. 26 to Ksh3.45 billion ($23.49 million).
Despite the recent downturn in Sasini’s share price, the Kenyan Merali family remains one of the wealthiest families in the country.
Their extensive investment portfolio includes a 5.20-percent stake in NCBA Group, a 35-percent stake in battery firm Eveready East Africa, and a 74.06-percent stake in tire distributor Sameer Africa.