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South African tycoon Laurie Dippenaar has recorded a significant slump in the market value of his stake in FirstRand, following a significant decline in the shares of the leading financial services group on the Johannesburg Stock Exchange (JSE).
The market value of Dippenaar’s stake in FirstRand has decreased by R529 million ($28 million) over the past 25 days — this is attributed to reduced buying interests among investors, leading to the recent slump in the shares price on the JSE.
FirstRand sees 7.44-percent share slump, market cap dips below $20 billion
FirstRand is Africa’s largest financial services group in terms of market capitalization. Its integrated financial services portfolio comprises FNB, RMB, WesBank, and Aldermore, as it maintains active operations in South Africa, the UK, and regional markets in Africa.
Since the beginning of the year, the share price of FirstRand has decreased by 7.44 percent, dropping from R73.51 ($3.89 to R68.16 ($3.61) at the time of drafting this report. This recent decline has pushed its market capitalization below $20 billion, ranking it as the ninth most valuable company on the JSE.
Dippenaar’s FirstRand stake slumps below $360 million
Dippenaar, who co-founded Rand Consolidated Investing with partners GT Ferreira and Paul Harris in 1977 and grew it into a leading financial services group, holds a 1.76-percent stake in FirstRand, which translates to 98,726,988 shares in the group.
According to Billionaires.Africa, the recent slump in FirstRand shares has caused the market value of Dippenaar’s stake in the leading lender to decline by R529 million ($28 million) over the past 25 days, falling from R7.26 billion ($384.85 million) on Jan. 1 to R6.72 billion ($356.21 million) at the time of writing this report.
Despite this substantial decline in Dippenaar’s stake, the leading South African businessman remains one of the top investors on the JSE and one of the most affluent business executives on the African continent.
