The Nigerian stock market has been on a bullish run in the first half of 2023, with the NGX All-Share Index reaching its highest level in 15 years, Nairametrics has reported.
The month of June saw the All-Share Index rise by 9.32%, breaking a four-year streak of losses for stocks during this month. It also represents the best monthly performance for the stock market in approximately two and a half years.
Equity trading on the Nigerian Exchange Limited (NGX) concluded the first half of the year on a positive note, with the NGX All-Share Index gaining 18.9% and closing at 60,968.27 index points.
The impressive performance of the market has also been reflected in the fortunes of some of the country’s richest businessmen, who have seen their net worth increase significantly from their holdings in various listed companies.
According to Nairametrics, three of Nigeria’s top billionaires – Aliko Dangote, Abdul Samad Rabiu, and Femi Otedola – collectively gained $2.28 billion from the stock market in the first six months of 2023.
This represents an increase of 18.9%, from their combined investment in their respective companies quoted on the stock market valued at $11.1 billion as of December 31, 2022.
In Naira terms (we used N765/$1 as the exchange rate), which is the official currency for stocks, the three billionaires own a combined stake of N10.6 trillion up from N8.7 trillion as of December 2022. However, for context, we used the dollar values.
The breakdown of their gains is as follows:
Abdul Samad Rabiu, the founder and chairman of BUA Group, a conglomerate with interests in cement, sugar, oil, and gas, among others, was the biggest gainer among the trio.
- He added $1.3 billion to his net worth, which rose from $5.67 billion as of December 31, 2022, to $6.97 billion as of June 30, 2023.
- This was largely due to the appreciation of his shares in BUA Cement Plc, which increased by 23% in the first half of the year.
Aliko Dangote, Africa’s richest man and the founder and chairman of Dangote Group, a diversified conglomerate with interests in cement, sugar, salt, flour, oil, and gas, among others, gained $504 million from the stock market in the first half of 2023.
- His net worth increased from $4.9 billion as of December 31, 2022, to $5.4 billion as of June 30, 2023.
- This was mainly driven by the growth of his shares in Dangote Cement Plc, which rose by 10% in the first half of the year.
Femi Otedola, the chairman of Geregu Power Plc and a former chairman of Forte Oil Plc (now Ardova Plc), a downstream oil and gas company, gained $488 million from the stock market in the first half of 2023.
- His net worth jumped from $491 million as of December 31, 2022, to $975 million as of June 30, 2023.
- This was largely due to the surge of his shares in Geregu Power Plc, which soared by 99% in the first half of the year.
The table below shows the details of their gains in naira and dollar terms:
The three billionaires are among the most influential and philanthropic business leaders in Nigeria, who have contributed immensely to the development of various sectors of the economy and society.
Nairametrics
