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South African banker Laurie Dippenaar has experienced a notable decline in wealth as the market value of his stake in FirstRand, Africa’s largest banking group, slipped below the $340-million threshold. This dip is attributed to the ongoing decline in the shares of the leading financial services group on the Johannesburg Stock Exchange (JSE).
Over the past 18 days, Dippenaar’s stake in FirstRand has decreased by R243.86 million ($13.04 million), pushing it below the $340-million mark. This reflects a trend of local investors on the Johannesburg Stock Exchange progressively reducing their holdings in the group.
This setback follows closely on the heels of Dippenaar’s $25.6-million loss between Jan. 26 and Feb. 12. During this period, the market value of his stake in FirstRand dropped from R6.81 billion ($357.96 million) to R6.32 billion ($332.32 million).
FirstRand’s shares decline by 3.69 percent, market cap dips below the $20-billion mark
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.
In recent times, FirstRand’s share price has experienced a 3.69-percent dip, decreasing from R66.87 ($3.575) on Feb. 22 to R64.40 ($3.443) at the time of reporting. This downturn has driven its market capitalization below $20 billion, leading to substantial losses for shareholders, including Dippenaar.
FirstRand share decline shaves $13.04 million off Laurie Dippenaar’s stake
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, or 98,726,988 shares.
With the sustained decline in FirstRand shares, the market value of Dippenaar’s stake in the lending lender has declined by R243.86 million ($13.04 million) from R6.60 billion ($352.97 million) on Feb. 22 to R6.36 billion ($339.93 million).
