South African billionaire Johann Rupert has overtaken Nigerian tycoon Aliko Dangote to become Africa’s richest man, according to the Bloomberg Billionaires Index.
Rupert, the CEO of Richemont, a luxury goods conglomerate known for its prestigious brands like Cartier, Dunhill, Montblanc, and Alaïa, surpassed Dangote by approximately $900 million. Rupert’s net worth has surged to $14.3 billion, overtaking Dangote, whose fortune has declined to $13.4 billion.
Forbes, another major wealth tracking outlet, also acknowledges Rupert’s lead, estimating his net worth at $12 billion, slightly ahead of Dangote, who is valued at $11.9 billion.
This is not the first time Rupert has dethroned Dangote. On August 2, Rupert briefly surpassed the Nigerian industrial magnate, although his lead was short-lived as Dangote reclaimed the top spot less than 24 hours later.
How Rupert overtook Dangote
Rupert’s wealth, anchored in Richemont’s prestigious brands, has experienced a sharp increase due to a 7.5% rise in Richemont’s stock price. This uptick added $650 million to Rupert’s wealth, increasing his stake in the company to $9.91 billion.
In contrast, Dangote, the founder and chairman of Dangote Group, saw his fortune decline by $680 million by the end of July. This drop was primarily due to a decline in the share prices of his major companies, specifically Dangote Cement, Dangote Sugar Refinery, and NASCON Allied Industries, which fell by 10%, 13.6%, and 19.8% respectively.
Moreover, over the past 25 days, Dangote’s fortune has decreased by another $200 million, influenced by a drop in the market value of his 86% stake in Dangote Cement.
Additionally, the depreciation of the Nigerian naira, coupled with Nigeria’s challenging macroeconomic environment, further impacted Dangote’s wealth, reducing his net worth from $13.6 billion to $13.4 billion.
This wealth divergence between Rupert and Dangote highlights the differing economic landscapes to which their fortunes are tied. While Rupert’s wealth is bolstered by the global luxury market, which is more resilient, Dangote’s fortune is more closely linked to the Nigerian economy, which has faced significant challenges in recent times.
As of now, Rupert ranks as the 146th richest person in the world, according to Bloomberg’s real-time billionaire index. His continued success in the luxury sector, combined with Richemont’s strategic positioning, suggests that Rupert’s wealth is poised to retain its value and possibly grow further.
On the other hand, Dangote, despite the recent decline, remains focused on the future, with the Dangote Group aiming to generate approximately $30 billion in revenue by 2025.
The conglomerate is looking to expand its influence in the foreign exchange market, even as it grapples with production delays and other industrial challenges at its refinery.
This could potentially significantly increase Dangote’s fortune, putting him on the path to reclaiming his spot as Africa’s richest man.
Besides Rupert and Dangote, other notable billionaires in Bloomberg’s index include South African tycoon Nicky Oppenheimer, who occupies third place with a net worth of $11.3 billion, followed by Egyptian businessman Nassef Sawiris with $9.37 billion, and South African investor Natie Kirsh, who rounds off the top five with $9.14 billion.
