Patrice Motsepe, Africa’s foremost Black billionaire and the richest Black figure in Southern Africa, has experienced a significant $900 million reduction in his net worth since the start of 2023. As of the time of this report, his net worth stands at $2.3 billion, down from the $3.2 billion recorded at the beginning of the year.
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Reason for the decline of Patrice Motsepe’s net worth
The decline is attributed to the prolonged decline in the market value of his equity investments.
Patrice Motsepe achieved the distinction of becoming Africa’s first Black billionaire in 2008 due to his substantial wealth amassed in the mining sector.
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ARM’s poor financial performance
The near $1-billion decrease in Motsepe’s wealth can be directly linked to the decline in the market value of his substantial 40.37-percent stake in African Rainbow Minerals (ARM). ARM is a prominent South African mining conglomerate with strategic investments spanning mining ventures, including iron, coal, copper, gold, platinum, and other precious metals. ARM has faced huge challenges leading to poor financial performance. The share price of ARM on the Johannesburg Stock Exchange has declined from R288 ($15.22) on Jan. 1 to R170.1 ($8.99) at the time of drafting this report..