Jim Ovia, Nigeria’s wealthiest banker and a pivotal figure in the country’s banking sector, has seen a considerable increase in the market value of his investment portfolio, with the value of his stake in Zenith Bank rising past the $120-million level during a recent stock rally.
Ovia’s shareholding has increased significantly after the recent devaluation of the Nigerian currency, which caused his fortune to drop below $100 million in February.
The recent naira devaluation is part of a larger strategy to streamline the country’s multiple currency rate system and attract investment to help its faltering economy. This approach, which aligns with market-friendly policies made by Nigerian President Bola Tinubu in June 2023, intends to abolish the long-standing peg that artificially maintained the currency’s high value.
Ovia’s 16.2% stake in Zenith Bank, consisting of 5,072,104,311 ordinary shares, has increased in value from N172.45 billion ($106.72 million) to N197.56 billion ($122.26 million) due to a 14.56-percent increase in share price from N34 ($0.021) on March 6 to N38.95 ($0.0241).
Notably, the N25.11 billion ($15.54 million) gain in his Zenith Bank ownership over the last week cements Ovia’s position as Nigeria’s richest banker, keeping him among the country’s wealthiest persons and leading investors on the Nigerian Exchange.
The recent spike in Zenith Bank’s shares, which lifted the market value of Ovia’s stake past $120 million, comes before of the publishing of the group’s 2023 financial results, which are expected to include a substantial dividend payout.
Zenith Bank, a leading lender, experienced a significant profit surge in the first nine months of its 2023 fiscal year. Profits increased from N174.33 billion ($107.9 million) in 2022 to N434.17 billion ($268.71 million) in 2023, demonstrating the bank’s resilience in a dynamic economic environment.
Zenith Bank plans to develop beyond Africa by expanding into France. Ebenezer Onyeagwu, Managing Director, announced this objective during the Chartered Institute of Bankers’ annual dinner on Friday, November 24, 2023.
