Aliko Dangote, Africa’s richest man, increased his net worth by $1.5 billion in a single day, following a revised Forbes appraisal of his Dangote Fertilizer business the previous week.
In just 24 hours, his net worth increased from $15.5 billion to $17 billion, making him Africa’s richest man and the world’s wealthiest Black person. He is also ranked 103rd among the world’s wealthiest billionaires.
The phenomenal success of Dangote’s 86% ownership in cement colossus Dangote Cement Plc is driving this quick ascension. This year, the company’s shares have increased by almost 68%, bringing the market value of his holdings to $9.1 billion.
This screaming cement rally overshadows the earlier boost from Dangote Fertilizer’s revaluation, emphasizing Dangote Cement’s critical role in Dangote’s performance. According to Forbes, his fortune is over $17 billion, cementing his status as the continent’s richest man.
Dangote Cement is combining expansion and exports to pique investor interest as the continent faces a housing deficit. With an annual capacity of 55 million tonnes, the business is sinking concrete foundations for a new 6-million-tonne factory in Ogun State, Nigeria, dedicated only to exports.
Nigerian billionaire Femi Otedola, chairman of Geregu Power and director of FBN Holdings, has made a strategic bet, contributing to the optimistic surge. Otedola, the country’s fourth-richest man, sees Dangote Cement as a key participant in closing Africa’s housing gap, particularly in Nigeria, where the government and private sector are competing to provide cheap housing units.
Otedola’s hope stems from the undeniable need for Africa. The housing shortfall in Sub-Saharan Africa is projected to be 50 million units, and it is increasing as the population urbanizes. However, Dangote’s export goals point to a bigger vision. The company aspires to be a dominating participant in the regional construction scene, supplying critical supplies to a continent with enormous infrastructure and housing demands.
While his cement empire remains the foundation of his income, Dangote is reaping substantial rewards from other areas of his vast portfolio.Dangote Sugar Refinery and NASCON Allied Industries, his sugar and salt operations, have soared 39 percent and 31 percent, respectively, reflecting a broader market recovery and raising his interests to roughly $800 million and $130 million.
These sweet gains cap off an already spectacular year for Dangote, whose 86 percent interest in Dangote Cement has been the key source of his wealth growth. Even his minority holdings in Jaiz Bank and United Bank for Africa are performing well, with major growth expected in 2023.
The positive market sentiment has catapulted Dangote’s sugar and salt businesses to unprecedented heights, cementing his domination in these critical consumer products sectors. With his 72.7 percent interest in Dangote Sugar Refinery now worth over $800 million, the perfume of potential growth lingers in the air. Meanwhile, his 66.5 percent interest in NASCON Allied, valued at more than $130 million, adds a savory twist to his diverse portfolio.