Why Dangote stocks lost N1.2 trillion in July, affecting Aliko Dangote

• The stocks of companies under the Dangote Group suffered significant losses in July 2024
• The Dangote Cement, Dangote Sugar Refinery Plc, and NASCON Allied Industries lost a market cap of N1.2 trillion
• The losses affected Dangote’s net worth, making him drop from the top position as Africa’s richest man

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

Companies owned by Nigerian billionaire Aliko Dangote and under the Dangote Group lost about N1.21 trillion in market capitalisation in July 2024 after experiencing a double-digit share price drop.

Dangote Cement, the most capitalised stock on the NGX, Dangote Sugar Refinery, and NASCON Allied Industries are the three most traded stocks under the Dangote conglomerate.

Chairman of the Dangote Group, Aliko Dangote drops from Africa's richest man's position Credit: Bloomberg/Contributor
Source: Getty Images

The losses of Dangote Group

The firms’ share prices dropped by 10, 13.6, and 19.8%, respectively, translating into a market share cap loss of N1.21 trillion in the period under review.

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According to reports, the NGX lost 2.28% in July, with its market cap shedding N1,09 trillion from N56.602 trillion at the beginning of the month to N55.514 trillion.

During the period, Dangote Cement dropped N1.12 trillion of its market cap, closing July with a N10.07 trillion market cap, from N11.19 trillion at the beginning of the month.

The Dangote Sugar Refinery Plc recorded a N71.06 billion market loss, moving from N522.32 billion to N451.26 billion.

Dangote’s net worth affected

NASCON Allied Industries' market share declined by N19.7 billion, from N93.2 billion to N79.7 billion during the period.

The losses significantly affected Dangote’s net worth, causing the billionaire to drop from Africa’s richest man position, which he occupied for 12 consecutive years.

Legit.ng reported that the South African billionaire Johann Rupert toppled Dangote, according to data from the Bloomberg Billionaire Index.

Top 10 buyers of Dangote Refinery products

Legit.ng earlier reported that amid the spat with Nigeria’s petroleum regulators, a new report has linked 10 countries as top destinations for petroleum products from the Dangote Refinery.

The US, Spain, France, South Korea, Angola, Togo, Guinea, Belgium, Israel, and Singapore have been named as the 10 importers of petroleum products from the 650,000 bpd-capacity refinery.

The development comes as Nigerian students recently endorsed the refinery as transformative for Africa’s largest oil producer.

Source: Legit.ng