Key Points:Â
- Ahmed Ezz’s wealth spikes $45M in 6 days on Ezz Steel’s rally, now holding $542.67 million stake.Â
- Ezz Steel, MENA’s top producer with 7M ton capacity, nears $900 million market cap amid share price rise.
- Despite recent gains, caution urged as Ezz Steel shares down 14.67 percent YTD in local currency.
Egyptian businessman Ahmed Ezz, the founder of Ezz Steel, Egypt’s leading steel producer, has seen his wealth surge by nearly $45 million in the past six (6) days due to the recent rally in the steel company’s share price.
According to data tracked by Billionaires.Africa, Ezz’s stake in Ezz Steel has climbed EGP2.14 billion ($44.93 million) over the past six days. This surge follows a previous increase of EGP5.28 billion ($113.13 million) between May 12 and 21, when his stake rose from EGP19.46 billion ($417.16 million) to EGP24.74 billion ($530.28 million).
Ezz Steel’s market cap nears $900-million mark
Ezz Steel, renowned for its state-of-the-art production facilities in Egypt with an annual capacity of 7 million tons, has solidified its position as a leader in the Middle East and North Africa (MENA) region. Surpassing competitors like Saudi Arabia’s Hadeed and Emirates Steel, Ezz Steel has consistently produced over 5 million metric tonnes annually.
Ezz Steel shares on the Egyptian Exchange have enjoyed a recent surge, climbing over 9 percent. The price jumped from EGP72 ($1.51) on June 9 to EGP78.5 ($1.65), propelling the company’s market capitalization closer to $9 billion and delivering significant gains for shareholders.
Ahmed Ezz’s Ezz Steel stake rises above $540 million
Ahmed Ezz, a top figure in the steel industry and a major shareholder with a 60.7-percent stake (329,816,198 shares) in Ezz Steel, has seen the market value of his stake skyrocket.
From EGP23.75 billion ($497.73 million) on May 12, his holdings have surged to EGP25.89 billion ($542.67 million), marking a significant increase of EGP2.14 billion ($44.93 million) in just six days.
Your Money and Your Life: Investment caution advised
Despite recent gains, Ezz Steel’s shares have faced challenges this year, declining by 14.67 percent year-to-date in local currency terms. After accounting for the depreciation of the Egyptian pound, this decline increases to 44.65 percent.
Investors who entered the market at the beginning of the year are currently experiencing significant losses. A $100,000 investment in Ezz Steel at the start of 2024 would now be valued at $55,353, reflecting a substantial loss of $44,647.
