Khamis family faces nearly $10-million loss from Oriental Weavers stake

Feyisayo Ajayi -
Key Points
  • The Khamis family's investment in Oriental Weavers has lost nearly $10 million due to declining share prices on the Egyptian Exchange.
  • Oriental Weavers' market cap has dropped below $330 million, with shares declining 4.18% over 16 days.
  • The Khamis family's stake decreased from $194.91 million to $185.38 million, reflecting a $9.54-million loss.

Egypt's Khamis family, prominent in the global carpet industry, has faced a nearly $10 million financial loss from joint holdings in Oriental Weavers. Recent selling pressures on the Egyptian Exchange (EGX) have sharply reduced the company's share price.

Over the past two weeks, the Khamis family's investment in Oriental Weavers has experienced a loss of EGP462.87 million ($9.54 million). This follows an earlier loss of $7.5 million between July 31 and Aug. 12, during which the value of their stake fell from EGP9.23 billion ($187.38 million) to EGP8.86 billion ($179.9 million).

Oriental Weavers' market cap falls below $330 million

Oriental Weavers, a leading carpet manufacturer with a global presence in over 150 countries, has seen its share price decline by 4.18 percent over the past 16 days. The price fell from EGP25.14 ($0.52) on Aug. 20 to EGP23.91 ($0.49) as of the latest data.

This decline has reduced the company's market capitalization to below $330 million, impacting its shareholders, including the Khamis family, who hold a controlling 56.58-percent stake in the leading carpet manufacturer.

Khamis family’s Oriental Weavers stake falls

According to data tracked by Billionaires.Africa, the recent drop in Oriental Weavers' shares has reduced the Khamis family’s holdings from EGP9.46 billion ($194.91 million) on Aug. 20 to EGP9 billion ($185.38 million), reflecting a loss of EGP462.87 million ($9.54 million).

Despite these setbacks, the Khamis family remains among Egypt’s wealthiest and most influential investors. Their majority stake in Oriental Weavers is a key component of their financial portfolio, underscoring their significant role in the carpet manufacturing industry.

Your Money and Your Life: Performance and currency impact

Oriental Weavers began 2024 with a share price of EGP16.91 ($0.55) and has seen a year-to-date appreciation to EGP23.91 ($0.49), representing a 41.4 percent increase in constant currency terms.

However, the depreciation of the Egyptian pound has impacted returns for dollar-denominated investors. This currency fluctuation has led to a 9.84-percent loss in value. A $100,000 investment in Oriental Weavers' shares at the start of the year would now be worth approximately $90,160, reflecting a decrease of $9,840 due to currency effects.