South Africa’s richest man made R24 billion in one day
Johann Rupert, who owns 10.18% of Richemont, made R24 billion on Thursday, 16 January 2025, following a share price rally.
Rupert founded Compagnie Financière Richemont SA (Richemont) in 1988 by spinning off the international assets owned by Rembrandt Group.
Rembrandt Group, founded by Anton Rupert in the 1940s, owned gold and diamond mining operations and investments in luxury goods.
These assets, along with the investment in Rothmans International, would ultimately form Richemont.
The luxury goods holding company owns numerous globally renowned brands, including Cartier, Chloé, Dunhill, Montblanc, and Yoox.
The Rupert family owns 10.18% of the total issued share capital of Compagnie Financiere Richemont.
Despite holding only 10% of the company’s economic interest, the Rupert family retain majority voting rights of 51% within the company through their class B shareholding.
Simply put, Johann Rupert, through the Rupert family’s shareholding, has full control over Richemont.
On Thursday, 16 January 2025, Richemont reported a strong performance, with sales up 10% for its third quarter ended 31 December 2024.
It achieved the highest-ever quarterly sales at € 6.2 billion with double-digit growth in the Americas, Europe, Middle East and Africa, and Japan.
Retail sales increased by 11%, with growth in almost all regions, led by Jewellery Maisons, which further increased their contribution to 71% of group sales.
Wholesale sales were 4% above the prior-year period, and online retail sales were up 17%, led by Jewellery Maisons.
The market loved the results, and Richemont’s share price increased by around 14.8% following the news.
This share price increase lifted Richemont’s market cap from R1.56 trillion on Wednesday to R1.80 trillion on Thursday.
This means the Rupert family’s shareholding increased from R159 billion to R183 billion, and Johann Rupert became R24 billion richer on Thursday.