Temitope Lawani, the managing partner and co-founder of Helios Investment Partners LLP, a UK-based private equity firm, has seen the market value of his stake in Vivo Energy increase by £3.46 million ($4.75 million) so far this year.
Vivo Energy is a British downstream petroleum company headquartered in London. It operates as a leading marketer and distributor of Shell- and Engen-branded fuels and lubricants in Africa.
Its distribution network comprises 2,330 service stations throughout the African continent, spanning 23 countries.
Lawani holds a beneficial stake in the company amounting to 21,111,221 ordinary shares after he sold 1 million units from his stake in June.
The increase in the market value of his ownership interest in Vivo was due to bullish sentiment in the global crude oil market, as investors expect the oil and lubricant marketer to benefit from the recent surge in the crude oil price.
Consequently, Vivo posted a 485-percent surge in its net income from $13 million in the first half of 2020 to $77 million at the end of the six-month period that ended on June 30.
Aside from pricing benefits owing to higher commodity prices, Vivo Energy CEO Christian Chammas said the strong performance was driven by eight-percent volume growth compared to last year.
According to Chammas, the volume recovery was led by 18-percent growth in the retail segment, as the impact of the accelerated site roll-out program and a range of marketing initiatives kicked in, coupled with the gradual easing of mobility restrictions imposed by the government to curb the COVID-19 pandemic.
Since the start of the year, shares in the oil company have risen from a price of £0.85 ($1.1660) per share at the closing of the London Stock Exchange on Dec. 31, 2020 to £1.01 ($1.3910) per share at the time of writing today.
As a result, the market value of Lawani’s stake in Vivo Energy has increased from £17.94 million ($24.62 million) on Dec. 31, 2020 to £21.41 million ($29.36 million).
This translates to a gain of £3.46 million ($4.74 million) for the multimillionaire since the start of the year.
