Connect with us

Southern Africa

Elon Musk loses $25 billion since guest appearance on Saturday Night Live

The drop comes amid a steep 15-percent decline in Tesla’s shares.

Published

on

Tech mogul and billionaire Elon Musk. ©Billionaires.Africa

South African-born billionaire Elon Musk has seen his net worth plunge by about $25 billion since his appearance on Saturday Night Live last weekend.

According to data tracked by the Bloomberg Billionaire Index, Musk has lost about $25 billion of his net worth after a steep 15-percent decline in the shares of his flagship company, Tesla.

The tech tycoon was worth an estimated $184 billion according to the report when he appeared on SNL on May 8. The valuation comfortably made him the wealthiest person to ever host the comedy show.

However, the 15-percent decline in Tesla’s shares has lowered his net worth from $184 billion to $159 billion by close of market on May 13, thus giving him the same wealth valuation as French billionaire art collector Bernard Arnault.

Shares of Tesla, the U.S.-based electric carmaker, are headed for their worst weekly loss since a COVID-19-driven selloff in March 2020.

The company’s rough performance has been linked to a report by the China Passenger Car Association that Tesla sold 27 percent fewer made-in-China cars in April versus March.

The decline in the company’s April sales in China came amid an overall 12-percent month-on-month drop in April for new energy passenger cars in China, and increased scrutiny on Tesla from regulators.

In addition, analysts and stock market commentators have linked the poor performance of the stock to Musk’s tweet this week that Tesla suspended vehicle purchases using Bitcoin over concerns of excessive energy use during the mining process.

Analysts also believe Musk’s sudden reversal on accepting Bitcoin as payment for Tesla is confusing and poses a risk to investors in cryptocurrency and company stock, and this could increase volatility in Tesla’s shares.

Hot News

Led by South African Mouton family, PSG embarks on strategic restructuring

The South African Mouton family owns 24.5 percent of the company.

Published

on

Piet Mouton.

PSG Group, a South African investment holding founded and led by the Mouton family, has begun restructuring its business.

At the investment holding’s general meeting on Aug. 10, more than 95 percent of shareholders voted in favor of the company’s strategic restructuring, unbundling its stakes in the listed subsidiaries that it owns and delisting from the Johannesburg Stock Exchange.

As part of the restructuring, the group will unbundle its stake in subsidiaries such as PSG Konsult, Curro, Kaap Agri, and CA&S, as well as its 25.1-percent stake in Stadio, a tertiary education company.

Shareholders will not receive unbundled shares in these subsidiaries, and there will be no scheme consideration in the group.

PSG Group is a South African investment holding company, with positions in banking, education, finance, and consumer goods.

The South African Mouton family owns 24.5 percent of the company, which includes stakes held by family members like Petrus and Johannes Mouton, who serve as executives in the group.

The restructuring comes after years of attempting to close the gap between the holding’s JSE share price and its intrinsic worth, which management believes is far greater than its local exchange valuation.

The average discount between PSG and the firms in which it holds stakes is more than 40 percent, which can be attributed to investors preferring to invest directly in operating companies rather than through a holding corporation.

Continue Reading

Hot News

South African billionaire Johann Rupert-linked SEACOM partners with BT Group

Seacom is privately funded and 75 percent African-owned.

Published

on

Johann Rupert. ©Billionaires.Africa

SEACOM has announced a strategic alliance with UK telecommunications service provider BT Group as it prepares to enter the African enterprise cybersecurity market.

SEACOM is a leading pan-African telecom services provider linked to South Africa’s richest man Johann Rupert.

The partnership aligns with SEACOM’s plans to expand its portfolio of services targeting African businesses. By leveraging BT Group’s infrastructure and expertise, SEACOM hopes to secure its own infrastructure and deliver new networking and security solutions to African businesses.

“With SEACOM’s global network and local presence and BT’s global reach and expertise, we will be able to deliver a comprehensive portfolio of cloud, security, and connectivity services that are reliable, scalable, and at the cutting-edge of the industry,” Oliver Fortuin, CEO of SEACOM, said.

BT Group, which protects some of the world’s largest organizations from cyber threats through a dedicated network of security operations centers around the world, announced that SEACOM customers will gain access to BT Group’s Cloud Security Incident Event Management (SIEM) platform.

The SIEM platform provides real-time visibility and monitoring across an organization’s entire IT environment, acting as an additional layer of security to SEACOM’s existing ICT solutions.

Seacom, which bills itself as Africa’s most extensive ICT infrastructure provider, is privately funded and 75-percent African-owned, with Rupert’s investment holding Remgro owning 30 percent of the company.

South African mining magnate Patrice Motsepe owns a 15-percent stake in the pan-African telecom services provider through his financial services conglomerate, Sanlam.

Jubilee Holdings, a Kenyan investment holding backed by Aga Khan IV (Shah Karim al-Husayni), increased its stake in SEACOM from 8.8 to 18.8 percent earlier this year after acquiring an additional 10-percent stake in the company.

According to Nizar Juma, chairman of Jubilee Holdings, the transaction will strengthen the company’s ability to diversify its investment priorities across major sectors of the economy.

Continue Reading

Hot News

South African tech tycoon Zak Calisto gains $166 million in four weeks

Calisto is one of Africa’s richest tech entrepreneurs.

Published

on

South African tech tycoon Zak Calisto.

As the frenzy returns to equity markets, shares in Karooooo Limited have risen recently by double digits due to sustained buying interest as investors bet on tech stocks trading at all-time lows.

Karooooo Limited is a mobility platform led by South African businessman Zak Calisto.

As a result of the recent market surge, the value of Calisto’s 74.7-percent stake in Karooooo has increased by $166 million in the past 27 days to well above $640 million.

Calisto, who founded Karooooo and grew it into an international provider of smart transportation management solutions, is one of South Africa’s wealthiest men and one of Africa’s richest tech entrepreneurs.

As of press time on Aug. 10, the company’s shares were trading at $27.85 per share, up from their opening price of $26.98 per share earlier this week. The Singapore-based mobility platform’s market capitalization is presently $860 million.

The company’s shares have increased from a price of $20.65 to $27.85 at the time of writing this report, representing a 34.87-percent gain for patient investors since July 14.

The market value of Calisto’s shareholding in Karooooo has increased from $477.6 million on July 14 to $644.1 million at the time of writing, representing a $166-million gain for the tech tycoon.

The renewed buying interest in Karooooo’s shares can be attributed to investor reactions to the company’s double-digit increase in earnings in the first quarter of its 2023 fiscal year.

According to its recently published first quarter results, the Singapore-based global mobility SaaS platform’s profit increased by 44 percent to R156 million ($9.37 million), up from R108 million ($6.48 million) in the first quarter of 2022.

Earnings increased by double digits due to the higher revenue generated during the period, as the company’s total subscriber base surpassed 1.5 million, up from less than 1.4 million a year ago.

Continue Reading

Trending