Nigerian businessman Femi Otedola has fallen out of the ranking of Africa’s Billionaires after his net worth plunged from $1.8 billion to $550 million as a result of a massive drop in thestock price of his petroleum marketing company, Forte Oil.
According to FORBES, Forte Oil’s share price was at N145 ($o.44) per share down from an all time high of N342 ($1.1) in March 2016.
“Investors are dumping Forte Oil’s shares as a result of wide-spread disappointing results of Nigerian Companies of which Forte Oil Plc is also not immune. The company’s profit after tax was down at N2.80 billion ($8.8 million) for the third quarter ended Sept 30 2016 as against N4.28 billion ($13.5 million) for the same period in 2015.
Sources also attribute the results to reduced demand for energy consumption as a result of the recently increased pump price which has adversely affected the fortunes of oil marketing companies in Nigeria.
With a fortune now pegged at only $550 million, Otedola falls out of the ranking of Africa’s billionaires,” FORBES’ report added.