The equity stake of South African billionaire Stephen Saad in Aspen Pharmacare has declined by $29.31 million (R420.64 million), as shares in the company retreated from a record two-year high.
As of press time, 9:20 am (UTC+1) today, July 7, shares in Aspen, the largest drug company in Africa, were trading at $11.38 (R163.30) on the Johannesburg Stock Exchange (JSE), or 1.19-percent higher than its opening price of $11.23 (R161.10) this morning.
At the current price, the market capitalization of the leading drug manufacturer is $5.18 billion (R74.40 billion). This is $1.20-billion (R17.18 billion) higher than its valuation of $3.99 billion (R57.23 billion) at the opening of the JSE this year.
Shares in Aspen Pharmacare have been on a downward trend recently, as investors and bargain hunters sold down stakes to book profits after it surged to a record two-year high of $11.87 (R170.36) per share on June 17.
These profit-taking activities by investors sent the company’s share price falling from $11.87 (R170.36) on June 17 to $11.38 (R163.30) as of press time today.
This led to a four-percent loss for shareholders, including Saad, who holds a substantial stake in Aspen.
The equity stake of the billionaire in the global specialty and branded multinational pharmaceutical company amounts to 57,151,972 ordinary shares.
This translates to an ownership stake of 12.5 percent, according to Market Screener.
As a result of the five-percent decline in the company’s share price, the market value of Saad’s stake has declined from $678.51 million (R9.74 billion) to $649.19 million (R9.32 billion) between June 17 and July 7.
This translates to a loss of $29.31 million (R420.64 million) for the tycoon in 20 days.
