Nigeria’s foremost industrialist and Africa’s richest man, Aliko Dangote, is taking a very strategic step towards diversifying and protecting his vast wealth.
Bloomberg reported that Dangote, who has a net worth of about $15 billion and is among the top 100 wealthiest people in the world, is planning to open an office in New York dedicated to managing his wealth.
Economic uncertainty in Nigeria and across Africa, as well as fluctuations in the naira, prompted this move. Speaking on this, Aliko Dangote said that “in Africa, you know we have issues with devaluation. So, we want to really preserve some of the family’s wealth.”
Dangote makes most of his money in Nigeria and the other African markets where he operates. His companies under the Dangote Industries Limited – Dangote Cement Plc, Dangote Sugar Refineries Plc, and NASCON Allied Industries Plc – are all listed on the Nigerian Stock Exchange. The market valuations of these companies collectively account for a significant value of the Nigerian bourse.
Unfavourable economic factors, however, have a way of working against wealthy people like Dangote.
This was due to underperformance in the capital market which was, of course, caused by a bad Nigerian economy. Hence, the need to protect the billionaire’s wealth.