FirstRand shares slump costs South African tycoon Laurie Dippenaar $10.3 million

Feyisayo Ajayi -

South African business magnate Laurie Dippenaar continues to face significant losses in his stake in FirstRand, mirroring the persistent downturn in the shares of the leading financial services conglomerate on the Johannesburg Stock Exchange (JSE).

According to market data tracked by Billionaires.Africa, Dippenaar’s stake in FirstRand has declined by R195.48 million ($10.29 million over the past six days, reflecting a trend of local investors on the JSE reducing their holdings in the group.

This decline follows closely on the heels of a previous slump between March 14 and March 26, during which Dippenaar’s stake plummeted by R325.80 million ($17.24 million), underscoring the volatility in the financial markets.

FirstRand’s market cap falls below $18 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.

The recent downturn in FirstRand shares has seen it plunge from R63.04 ($3.318) on April 10 to R61.06 ($3.214), pushing the company’s market capitalization below $18 billion and resulting in significant losses for Dippenaar and other investors.

Dippenaar’s resilience amid market fluctuations

Dippenaar, a co-founder of Rand Consolidated Investing, holds a 1.76-percent stake in FirstRand, equivalent to 98,726,988 shares. Despite the recent market turbulence, he remains one of the top investors on the JSE and a prominent figure in the African business landscape.

Amid the recent market volatility, the market value of Dippenaar’s stake has declined by R195.48 million ($10.29 million)  since April 10. This translates to a decrease from R6.22 billion ($327.57 million) on April 10 to R6.03 billion ($317.28 million) at the time of drafting this report.

Dippenaar maintains his position as one of South Africa’s leading investors and one of the most affluent business executives across the African continent.