Gus Attridge's Aspen stake down $39 million so far in 2024

Omokolade Ajayi -
Key Points
  • Co-founder Gus Attridge’s stake drops $39.2 million amid market volatility, cutting its value to $177.18 million.
  • Aspen’s shares fell from R203.5 ($11.28) to R166.63 ($9.23) this year, cutting its market capitalization below $4.2 billion.
  • A $100,000 investment in Aspen at the start of 2024 now stands at $81,880, reflecting sector challenges and market volatility.

South African multimillionaire Gus Attridge, co-founder and chief advisor of Aspen Pharmacare Holdings, has faced a sharp decline in the value of his stake in Africa’s largest pharmaceutical company, with losses amounting to $39 million so far in 2024.

Attridge, who owns a 4.3 percent stake in the Durban-based pharmaceutical giant, has seen the market value of his 19,188,850 shares fall by R707.49 million ($39.2 million). This decline corresponds to an 18.12 percent drop in Aspen’s stock price on the Johannesburg Stock Exchange (JSE) since the start of the year.

This downturn contrasts with a robust 2023, during which Attridge enjoyed impressive gains, as his stake surged in value from R2.59 billion ($139.4 million) to R3.9 billion ($216.39 million). The recent drop underscores the challenges facing the pharmaceutical sector amid broader market volatility.

Aspen’s stock drops 18% in 2024

Aspen, co-founded 25 years ago by Gus Attridge and Stephen Saad, has grown into Africa’s largest pharmaceutical company, leveraging strategic mergers and global expansion. With manufacturing facilities spanning South Africa, Germany, France, and the Netherlands, the company has solidified its position as a leader in the global pharmaceutical industry.

It enjoyed an impressive 2023, buoyed by positive sentiment surrounding its financial performance and a major acquisition of a drug portfolio from U.S.-based Viatris in a deal worth $280 million.

However, 2024 has ushered in a sharp downturn in Aspen’s valuation. Since the start of the year, its stock has declined by 18.12 percent, falling from R203.5 ($11.28) to R166.63 ($9.23) and cutting its market capitalization below $4.2 billion.

Aspen stock drop hits Gus Attridge’s stake

This downturn has dealt a heavy blow to investors, including co-founder Gus Attridge, whose stake has lost R707.49 million ($39.2 million) in value. The drop has reduced the market value of Attridge’s holdings from R3.9 billion ($216.39 million) to R3.2 billion ($177.18 million).

Despite these challenges, Aspen remains a dominant player in the pharmaceutical sector. However, the recent stock performance underscores the volatility of the industry and raises questions about the company’s ability to sustain its competitive edge in an increasingly pressured market environment.

Your Money and Your Life

A $100,000 investment in Aspen shares at the start of 2024 is now worth $81,880, a loss of $18,120, highlighting the strain on shareholders. Unpredictable market conditions have added pressure on Aspen investors, including Attridge, raising concerns about the company’s outlook.