Table of Contents
Key Points:
- Ezz Steel shares fall nearly 7%, reducing Ahmed Ezz’s stake by $39 million over six days.
- Ezz Steel’s market cap dips below $920 million as shares slump by nearly 7 percent.
- Year-to-date, Ezz Steel’s shares are down 12.24% in EGP terms, widening to 43.35% with currency depreciation.
Egyptian steel magnate Ahmed Ezz, founder of Ezz Steel, has seen the market value of his stake in the leading steel conglomerate slump by over $39 million in the past six days due to a decline in the share price on the Egyptian Exchange (EGX).
According to data tracked by Billionaires.Africa, the market value of Ezz’s stake in Ezz Steel has dropped by EGP1.9 billion ($39.69 million) over the past six days, driven by selling pressure that has pushed the company’s stock price down nearly seven percent.
This setback in his fortune follows a period of earlier gains of $34.73 million recorded between June 24 and 27, when Ezz’s stake in Ezz Steel increased from EGP 26.52 billion ($551.9 million) to EGP 28.19 billion ($586.63 million).
Ezz Steel share price drops, market cap below $920 million
Ezz Steel, the Middle East, and North Africa’s (MENA) leading steel producer, boasts a robust seven-million-tonne annual production capacity across its state-of-the-art Egyptian plants.
Egyptian billionaire and prominent industrialist Ahmed Ezz owns 60.7 percent of Ezz Steel, translating to 329,816,198 shares. The company’s output surpasses regional peers like Saudi Arabia’s Hadeed and Emirates Steel, exceeding 5 million metric tonnes annually.
Ezz Steel’s shares closed at EGP86.51 ($1.803) on July 9 but have since declined to EGP 80.74 ($1.683), a 6.67-percent drop. This has pushed the company’s market capitalization below $920 million.
Ahmed Ezz’s stake slumps below $560 million
As a result of the recent decline in Ezz Steel’s shares, Ahmed Ezz’s stake in the group has fallen by EGP1.9 billion ($39.69 million) from EGP28.53 billion ($595.1 million) on July 9 to EGP26.63 billion ($555.41 million).
Despite this setback, Ezz remains the second-richest investor on the Egyptian Exchange and one of Egypt’s wealthiest individuals.
Ezz Steel’s shares have posted year-to-date losses, down 12.24 percent in Egyptian pound terms. Factoring in currency depreciation, the decline widens to 43.35 percent.
investors who bought shares at the beginning of 2024 are now facing substantial losses, with a $100,000 investment now worth only $56,652.
