Cover Stories, News

Dangote loses N935 billion in two days -Slips to number 38 on Forbes’ richest list with $19.5 billion

-Stock market sheds N2 trillion, fear of crash grips Nigerians

THE pride of Africa, Alhaji Aliko Dangote, 57, had it rough last week when good news of his climb to the 23rd position on Forbes richest list was dampened 24 hours later! At the end of the week, he had lost $5 billion (N935 billion)!

Dangote DSC_0630Africa’s richest man moved from the 43rd spot to 23rd, 37th and finally rested on 38th in two days.

His net worth of $20 billion (N3.4 trillion) climbed to $25 billion (N4.25 trillion), dropped to $21.3 billion (3.655 trillion), $20 billion and settled at $19.5 billion (N3.315 trillion).

Some good news came on Monday, November 10, 2014, when he moved three steps from 38th position to 35th on Forbes list, with $21.6 billion (N3.672 trillion) net-worth. Many sighed in relief that the likeable billionire is on his way up again.

The man of means behind Dangote Group, lost a chunk of his fortunes on the stock market,  shedding about N20 per share on Dangote Cement in two days. On Wednesday, November 5, 2014, it stood at N208.85 per share, dropping to N198.45 by Thursday, November 6, and N188.53 on Friday, November 7.

By the end of the trading week, about N20 per share had been lost by the Kano-born billionaire’s cash cow (Dangote Cement).

On Monday, November 10, 2014, Dangote Cement further lost N9.42, moving from N188.53 to N179.11 per share.

The news of Dangote’s climb to the 23rd spot on Forbes list was greeted by jubilation across the land on Wednesday, November 5. For the first time, a black person broke the barrier of the first 25 richest persons in the world.  With $25 billion, it was sweet victory for all.

The adorable man was serenaded and applauded!

But the bad news came as the stock market began a free fall, hugging the 2008 record when despondency reigned among investors.

By Friday, October 24, the market capitalization nestled around N12.906 trillion. On Friday, October 31, it stood at N12.437 trillion, and N11.004 trillion on Friday, November 7, 2014. On Monday, November 10, it settled at N11.007  trillion.

In two weeks, the market had lost about N2 trillion.

The equities market which rose to N14.027 trillion at the end of June, dropped to N13.607 trillion by September 30, 2014. Many have attributed the crash in the stock market to falling oil prices, insecurity in the North-east, pressure on the Naira and uncertainty over 2015 elections. And Alhaji Aliko Dangote was one of the major casualties.

The man who began business as a trader in major commodities and moved into manufacturing, stepped onto the Forbes rich list in 2008 with $3.3 billion. By 2009, his net-worth dropped to $2.5 billion. In 2010, it stood at $2.1 billion; 2011 – $13.8 billion; 2012 – $11.2 billion; 2013 – it dangled between $16.1 billion to $20.8 billion. And in 2014, from $25 billion to $19.5 billion.

In 2006, the all-gloss, all-colour authentic celebrity journal, ENCOMIUM SPECIAL serenaded the humble man of means thus:

He is sprinting. Actually he is dashing far ahead of his peers. While we are still at the starting line, he has breasted the tape.  49 year-old Alhaji Aliko Dangote, the Kano-born mogul who sees farther into the future as if he’s holding a powerful telescope which foretells what will win, is cashing in on his foresight.

When we were all napping (by the way, he catches only about three hours of sleep every day, going to bed at about 2 a.m, and rising around 5), he already knew that the quick bucks from trading won’t pour in torrents for long.  And by 1997, he took his bold steps, leaping into manufacturing.

Aliko-DangoteThe man who sees tomorrow, who began business with a loan of N500,000 from his uncle, his mother’s brother (the legendary Alhaji Hassan Dantata), in 1977, has surpassed many targets, hopping over obstacles and hurdles.

Dangote Group has become a giant, with sculptured physique and boundless energy. It enjoys the front seat I many sectors and its assets, capital base, turn over and goodwill can only be calculated with the most sophisticated adding machine.

Take a look at some of its activities:

On Thursday, November 16, 2006, at the newly opened Civic Centre on Ozumba Mbadiwe, Victoria Island, Lagos, where Dangote Sugar Refinery Plcwas launching its public offer, Alhaji Dangote already had N54 billion in his pocket (that’s the value of the three billion shares on offer underwritten by a consortium of banks). That company’s capitalization alone stands at N180 billion, and the genial billionaire has all of 70 per cent of it.

At that ceremony which caused traffic jam in the area, those who breathe life into our economy were on hand to support their captain.  From fellow billionaires to sharp bank executives, smart entrepreneurs to discerning stockbrokers and colourful journalists. All were in attendance at the event, which showed the respect the largest employer of labour (nearer 24,000 persons) commands.

Let’s leave the sugar refinery company and move to Obajana Cement project in Kogi which he owns 100 per cent. It is worth $2.5 billion. The flour arm of Dangote Group is worth another $500 million. Pasta, macaroni and spaghetti, $200 million.  Benue Cement, $1 billion. Don’t forget he has an oil bloc!

Alhaji Aliko Dangote also has a steel company. And there is Savannah Sugar, salt and sack in the large portfolio of the leader who has about $4 billion to his name.  The property arm of his investment rests around N6 billion.

But he’s not only work. He traverses the globe to catch up on appointments and fun in a private jet (he actually has two: an HS 125 1000 series, and HS 125 800 series). There is a yacht, valued at $600,000, the all-glass and granite home facing Karimu Kotun on Victoria Island, Lagos, which is a statement in classic grandeur.


Alhaji Aliko Dangote enjoys the good things of life. His third jet is a Bombardier Global Express 5000 at $45 million (N7.65 billion).

The king of manufacturing has his legs and arms in sugar, salt, pasta, flour, beverages, oil and gas, fertilizer, real estate and telecommunications, among others.

Folorunsho Alakija

Folorunsho Alakija


Mike Adenuga



Dangote’s cement plants in Obajana (Kogi), Ibeshe  (Ogun) and Gboko (Benue), all in Nigeria, and across a few countries in Africa (Tanzania, South Africa, Liberia, Senegal, Cameroun and Congo, rate him as the second biggest in that sector in the world.

With the biggest sugar refinery in sub-Sahara Africa, the Lagos plant is the second largest in the world. And his sugar plants are in Adamawa (Nigeria) and Algeria.

Nigeria’s largest employer of labour is the czar of salt. And there’s Dangote Flour, with mills in Lagos, Kano, Ilorin and Calabar.

Other products in the portfolio of the slim and handsome gentleman are fruit juice, tomato puree, noodles, pasta, macaroni and spaghetti, agro sacks and more.

Alhaji Aliko Dangote maintained his 37th position on the Forbes list, with Dr. Michael Adenuga rated at number 317 with $4.8 billion (N816 billion) net-worth, and Mrs. Folorunsho Alakija at number 790, with $2.3 billion (N391 billion).




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