Nigerian billionaire Mike Adenuga saw his net worth plunge by $1 billion. The sixth richest man on the continent has lost his position, falling from $6.7 billion at the beginning of 2022 to $5.7 billion a month to the end of the year.
The impact of the loss was felt in his two primary sources of wealth — telecom company, ‘Globacom’ and Conoil plc., and other sectors such as banking and finance.
How he lost $1 Billion
In the third quarter of 2022, Conoil Plc’s market capitalisation dropped by millions compared to the good financial record presented in the first half of 2022. In three months, this saw Nigerian billionaire Mike Adenuga’s 74.4% share value decline significantly by $9.2 million (N4 billion) from $40.61 million (N17.68 billion) to $31.42 million (N13.68 billion).
His profits in investment also reduced to $5.34 million (N2.32 billion). Mike Adenuga also incurred losses in his direct and indirect investments in Sterling bank. He owns 5.63% (1.62 billion direct investment shares) and 1.23% (354.4 million indirect investment shares) through Glomobile Limited.
As of the first half of 2022, the direct investment was worth N2.49 billion from N3.40 billion in early 2021. The indirect investment value fell to N545.8 million compared to its previous worth of N744.3 million.
The drop in share value led to a combined loss of N1.10 billion in his investment portfolio in the bank. It reduced from N4.14 billion to N3.04 billion within a year and a half period. While Globacom lost N198.49 million, Mike Adenuga directly lost N907.4 million.
Mike Adenuga’s telecommunication company is not left as he incurred a 3% or $200 million loss from the beginning of 2022 to the first half of the year. This was after the revaluation of his interest in Globacom Limited, Nigeria’s second-largest telecom service provider.
Kenya’s Asset Recovery Agency (ARA) has withdrawn its allegation of money laundering again…