Africa's first Black billionaire Patrice Motsepe's wealth grows by $500 million this year

Omokolade Ajayi -

Key Point

  • Patrice Motsepe’s net worth has surged by $500 million in 2024, reversing a $600 million loss from 2023, solidifying his position among Africa’s wealthiest.
  • Motsepe’s wealth, bolstered by gains from African Rainbow Minerals, rose by $400 million in the first half of 2024 and another $100 million in early July.
  • African Rainbow Minerals’ shares have propelled Motsepe’s wealth, now totaling $3.1 billion, with ARM’s market cap at $2.96 billion and his stake valued at $1.2 billion.

Africa’s first Black billionaire, Patrice Motsepe, is on track to erase the $600 million he shed in 2023. Since the year began, his net worth has climbed $500 million, solidifying his position among Africa’s wealthiest individuals.

Motsepe, who minted billionaire status in 2008 through mining ventures, saw his net worth surge $400 million in the first half of 2024, reaching $3 billion. The first eight days of the second half delivered another $100 million boost, bringing his year-to-date gains to half a billion, and boosting his fortune to $3.1 billion, according to Forbes.

African Rainbow Minerals: The cornerstone

The bedrock of Motsepe’s wealth remains his 40 percent stake in African Rainbow Minerals (ARM). This prominent South African mining company boasts a diverse portfolio encompassing iron, coal, copper, gold, platinum, and other precious metals.

ARM’s share performance has been instrumental, driving Motsepe’s fortune from $2.6 billion on Jan. 1 to $3.1 billion at the time of drafting this report. This recoups a significant portion of the 2023 losses, where his wealth dipped from $3.2 billion to $2.6 billion.

Year-to-date, ARM’s shares on the Johannesburg Stock Exchange (JSE) have climbed 21.4 percent, from R193.5 ($10.67) to R234.51 ($12.93). This surge has propelled ARM’s market cap to $2.96 billion, valuing Motsepe’s stake at $1.2 billion.

Beyond Mining: A diversified portfolio

Patrice Motsepe’s wealth extends beyond the recent ARM uptick. He holds a diversified investment portfolio, including a 12.08 percent indirect stake in Harmony Gold, South Africa’s largest gold mining company, through African Rainbow Minerals Limited. Harmony Gold boasts a $6 billion market cap on the JSE.

Strategic investments and fintech expansion

Patrice Motsepe’s strategic investments and resurgent core asset values continue to fuel his wealth growth, solidifying his position as a leading African billionaire. His investment holding company, African Rainbow Capital (ARC), has been active in the fintech space.

ARC recently backed Lesaka Technologies’ expansion following its acquisition of payments tech firm Adumo for R1.59 billion ($85 million) in a cash-and-share deal. With a market cap nearing $300 million, NASDAQ-listed Lesaka now includes ARC among its investors, strengthening Motsepe’s influence in fintech.

TymeBank seeks $150 million funding boost, eyes $1 billion valuation

In June, TymeBank, a digital bank under Motsepe’s control, sought $150 million in funding, potentially propelling its valuation to $1 billion. This move aims to accelerate growth in preparation for an initial public offering (IPO).

TymeBank, with a rapidly growing customer base in South Africa and the Philippines, currently serves 12.4 million, with 9.2 million in South Africa and 3.2 million through GoTymeBank in the Philippines.