South African business magnate Tshepo Mahloele has endured a sharp decline in the market value of his stake in Capitec Bank, driven by the recent slump in shares of the leading retail bank on the Johannesburg Stock Exchange (JSE).
According to data tracked by Billionaires.Africa, Mahloele — who is one of the wealthiest individuals in South Africa — has seen the market value of his stake in Capitec Bank decline by R416.12 million ($22.7 million) in just six days as wary investors sell off their stake in the lender.
Capitec Bank’s shares dip by 2.53 percent on JSE, impacting shareholders
Capitec Bank, established in 1999 and co-founded by Michiel Le Roux alongside Jannie Mouton and Riaan Stassen, has solidified its standing over the past two decades, amassing a substantial customer base. With more than 850 branches and 7,400 ATMs across South Africa, the bank has earned a reputation as one of the world’s top retail banking brands.
Since Dec. 14, its shares on the JSE have declined by 2.53 percent, falling from R1,958.78 ($106.794) to R1909.30 ($104.097) at the time of drafting this report – accruing substantial losses to its shareholders, including Mahloele, who owns an indirect stake in the retail bank.
Tshepo Mahloele stake in Capitec Bank slumps below $880 million
Mahloele, the chairman and founder of Lebashe Investment Holding Group, a 100-percent Black-owned investment holding firm, holds a 7.26-percent indirect stake, translating to 8,409,802 ordinary shares in Capitec Bank through Lebashe.
The recent downturn in Capitec Bank’s shares has resulted in a substantial decrease of R416.12 million ($22.69 million) in Mahloele’s stake — declining from R16.47 billion ($898.15 million) to R16.06 million ($875.47 million) at the time of drafting this report.
However, despite this setback, Mahloele retains his position as one of South Africa’s elite billionaire bankers and continues to maintain a significant presence as a top investor on the JSE.