Patrice Motsepe, renowned as Africa’s first Black billionaire and a prominent figure in South Africa’s mining industry, is on the brink of receiving an interim dividend of R539.43 million ($28.8 million) from African Rainbow Minerals (ARM), a leading mining and minerals company based in South Africa.
Thanks to ARM’s retained earnings of R40.89 billion ($2.17 billion) as of Dec. 31, 2023, the $28.8-million interim dividend will be deposited into Patrice Motsepe’s bank account on Mon., April 8, 2024, alongside the interim dividend of other shareholders.
ARM, holding strategic interests in diverse mining projects spanning iron, coal, copper, gold, platinum, and other precious metals, plays a pivotal role in South Africa’s mining sector.
Motsepe, who is worth $2.5 billion, according to Forbes, derives a significant portion of his billion-dollar fortune from his 45.9 percent stake in ARM, solidifying his position as one of the continent’s wealthiest individuals.
Patrice Motsepe’s ARM reports $157.8 million in headline earnings
In its recently released interim results, ARM’s headline earnings declined by 43 percent, dropping from R5.17 billion ($275.5 million) in the first half of 2023 to R2.96 billion ($157.8 million) in the corresponding period of 2024. This decline was attributed to a significant decrease in platinum group metals (PGM) commodity prices, resulting in reduced revenue from R9.37 billion ($499.34 million) to R6.6 billion ($351.7 million).
Despite the earnings setback, ARM’s retained earnings experienced a slight dip from R41.08 billion ($2.19 billion) as of December 31, 2022, to R40.89 billion ($2.17 billion) as of Dec. 31, 2023. Meanwhile, the company’s total assets surged from R60.4 billion ($3.22 billion) to R64.4 billion ($3.43 billion) during the same period.
African billionaires reap dividend rewards: Aliko Dangote anticipates $284.5-million payout
The board of directors has greenlit an interim dividend of R6 ($0.32) per share, in line with the company’s dividend policy. This marks a shift from last year’s R14 ($0.75) per share. The total payout amounts to R1.348 billion ($71.9 million), set for distribution on Mon., April 8, 2024, to shareholders in the company’s books by the end of business on Friday, April 5, 2024.
Recent research by Billionaires.Africa suggests that Motsepe, with a sizable stake in ARM, stands to pocket R539.43 million ($28.8 million) from this interim dividend. This hefty sum further cements his status as one of Africa’s wealthiest individuals.
Notably, among other African billionaires benefiting from dividends from publicly listed companies they control is Aliko Dangote, Africa’s richest man, who anticipates receiving a substantial dividend of $284.5 million from his stake in Dangote Cement Plc, the continent’s leading cement producer.
