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Africa’s richest man Aliko Dangote has experienced a significant setback in his financial standing, with his net worth declining by $1.4 billion over the last 24 hours.
This recent $1.4-billion decline follows the earlier dip in his fortune this month, primarily attributed to the devaluation of the Nigerian naira against the U.S. dollar.
Dangote’s net worth, which stood at $15.9 billion, has now dropped to $13.5 billion, marking a steady decrease from over $20 billion earlier this month.
The major driver behind this sudden fall is the recent decline in the market value of his substantial holdings in Dangote Cement Plc, the largest cement manufacturer in Africa.
Over the past 24 hours, the market value of Dangote’s 86-percent stake in Dangote Cement has seen a staggering decline of $1.2 billion.
This significant drop brings the market value down from N11.1 trillion ($7.45 billion) to N10.1 trillion ($6.25 billion) at the time of drafting this report.
The decline in the market value of Dangote’s stake in the leading cement maker is attributed to profit-booking activities among investors.
This has resulted in a 10-percent slump on the Nigerian Exchange. Dangote Cement shares on the local bourse have declined from N763 ($0.509) to N686.7 ($0.428).
In addition to his stake in Dangote Cement, Dangote also derives a substantial portion of his fortune from his fertilizer plant, Dangote Fertilizer, boasting a capacity to produce 2.8 million tonnes of urea annually.
His diversified portfolio includes a 72.7-percent stake in Dangote Sugar Refinery, a 66.5-percent stake in the leading salt processing company NASCON Allied Plc, and an 86-percent ownership in Dangote Cement, his flagship company.
The continuous decline in Dangote’s wealth underscores the challenges faced by even the most prominent figures in the business world, emphasizing the volatility of financial markets and the impact of external factors on individual fortunes.
