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The Rich List: South Africa’s Wealthiest!

Filed under : Africa

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Hope you all are enjoying this fabulous long weekend [Labor Day for us in the U.S.A]…

So I went away this weekend and had a chance to meet folks that follow our site! One particular person paid me, what I thought was a HUGE compliment. They said to me, they have always thought that I was based in Africa [particularly South Africa] because I/we are so current with our news, information etc. Of course! That is and has always been one of our goals here. To provide up-to-date content on Africa for our African readers in the diaspora. So big thank you to “MaMoyo” & of course my right-hand partner, Senior Editor, Allegro….

So the South African The Sunday Times Rich List, released yesterday, showed that the Top 20 earners in South Africa, make up more than 70% of the wealth of South Africa’s 100 richest people [which stands at R152.72-billion]. Two years ago, the Top 20 earners in South Africa had a total fortune of R70.57-billion and the richest 100 R94.16-billion.

1. Patrice Motsepe – R22.99-billion

2. Lashmi Mittal – R20.87

3. Nicky Oppenheimer – R11.1-billion

4. Christo Wiese – R10.73-billion

5. Laurie Dippenaar – R5.2-billion

6. Rupert Family – R5.14-billion

7. Ackerman Family Trust – R4.98-billion [whose stake in Pick n Pay Holdings is worth R4.98-billion]

Below is the detailed article explaining the wealthiest in South Africa and how they made their fortunes….hope you are inspired!

Most are much richer than is recorded, as they have other investments including cash, property, offshore investments and business interests which are not on the JSE. The number of billionaires has slipped from 30 last year to 28 this year, but many of SA’s richest have increased their wealth, despite the economic crisis. The Rich List is dominated by entrepreneurs, many of whom changed the face of their industries. Seven of the top 10 are self-made, and those who come from family money have made even more than the wealth created by entrepreneurial parents and grandparents.

Patrice Motsepe, who for the first time tops the Rich List, has JSE-listed investments worth R22.99-billion, up from R19.91-billion the previous year. This reflects his stakes in African Rainbow Minerals and Sanlam, though it excludes the value of his other investments, including Premier Soccer League club Mamelodi Sundowns. A lawyer who went into business, Motsepe was ranked 336th on the Forbes list of richest people in the world this year, with an estimated fortune of $3.3-billion, about R23.36-billion.

He has ousted Lakshmi Mittal, who is not a South African but is on the list by virtue of his local shareholding in ArcelorMittal SA. Mittal’s waning fortune, of R20.87-billion, down from R21.5billion the previous year, reflects that of his investment, the troubled ArcelorMittal SA.

In third position for the fourth consecutive year is Nicky Oppenheimer, whose family retains a 2% stake in Anglo American worth R11.1-billion. The estimate of his wealth excludes the family’s 40% interest in De Beers, believed to be worth £2-billion. The family also owns SA’s largest private game reserve, Tswalu Kalahari. On the Forbes list, Oppenheimer is ranked significantly higher than Motsepe. Oppenheimer is the 136th richest person in the world according to Forbes, with a fortune of $7-billion (R49.5-billion), up from $5-billion last year.

Shoprite chairman Christo Wiese retains fourth position, but his fortune swelled to R10.73-billion, up from R7.3billion last year. He also owns wine producer Lourensford Estate and a private game reserve in the Kalahari. Wiese, a lawyer who joined Pep Stores as an executive director in 1967, owns stakes in Shoprite, PSG Group, Invicta Holdings and Tradehold, but the bulk of his listed wealth is his 15% stake in retailer Shoprite, with a market capitalisation in excess of R59-billion.

Ranked 10th last year, FirstRand founder Laurie Dippenaar has jumped to fifth with a fortune of R5.2-billion, up from R3.05-billion last year with a larger stake in First Rand coupled with a rising share price .

FirstRand and RMB have also made fortunes for non-executive chairman GT Ferreira, in 10th spot, and former FirstRand CEO Paul Harris, who jumped from 28th to 17th position. They are worth R2.52-billion and R1.78-billion, respectively.

But FirstRand is not the only banking group to make billionaires out of its founders. Capitec, after a stunningly successful few years, propelled chairman Michiel le Roux from 26th to 14th position. He is worth R2.19-billion.

Capitec, listed in 2002, has taken away market share from traditional banks through innovations such as lower fees and opening on Sundays.

Capitec ’ s strong performance also helped buoy the fortune of Jannie Mouton, who made the top 20 for the first time. He is ranked 16th, and worth R1.98-billion. Mouton is executive chairman of PSG, which owns 34.6% of Capitec. Capitec CEO Riaan Stassen is ranked 58 with a listed fortune of R411.74-million; former non-executive director Tshepo Mahloele has R267.5million, and non-executive director Chris Otto holds a stake in Capitec that contributes to his fortune of R238.1million.

Billions have also been made by founders of businesses that gave consumers what they want in housing, pharmaceuticals and healthcare.

While the list includes many people wo have made their fortunes in the past two decades, the old money has got richer. The Ackerman Family Trust, whose stake in Pick n Pay Holdings is worth R4.98-billion ( R4.6-billion) dropped one place to 7th. The fortunes of Royal Bafokeng Consortium edged up with investments in Astrapak, Impala Platinum, Merafe Resources, Metair Investments and Zurich Insurance company now worth R2.48-billion.

Cyril Ramaphosa’s stakes in Assore, Bidvest, Mondi, MTN, SABMiller and Standard Bank are worth R2.22-billion, bringing him up to 13th position from 17th last year.

Resources such as coal and iron ore have made a number of people very rich in recent years. Optimum Coal, SA’s sixth-largest coal producer, has six shareholders in the top 100 following last year’s JSE listing. CEO Mike Teke is worth R608.3-million. Among non-executive directors, Peter Gain is worth R515.4-million, Tom Borman R498.3-million, Mlungisi Kwini R432.4-million, Eliphus Monkeo R425.6million, and non-executive chairman Sivi Gounden R387.8-million,

Exxaro, SA’s second-largest coal producer and a major supplier to power utility Eskom, has also made a lot of people rich. CEO Sipho Nkosi is worth R1.6-billion, followed by directors Vincent Mntambo (R914.9-million), Leonard Sowazi (R622.8-million) and Dalikhaya Zihlangu (R466.36-million).

Directors of Famous Brands occupy five of the top 100 positions.

Chairman Panagiotis Halamandaris’ 12.5% stake in Famous Brands is worth R437.4-million, deputy chairman Theofanis Halamandaris is worth R379-million, director Perikles Halamandaris R328.86-million and John Halamandres R261.51-million.

Hymie Levin’s stake in Famous Brands (along with Netcare and Advtech) gives him a fortune of R249.74million.

Famous Brands CEO Kevin Hedderwick, meanwhile, is worth R47.6-million.

There is only one woman among the 100 richest people in South Africa, Sharon Wapnick. Recall Sharon was listed in the Forbes 2011 list of Africa’s richest women

Sharon is a non-executive director at Octodec Investments and Premium Properties. She is ranked at 74th and is worth R330.37-million. Sharon is also the daughter of billionaire Alec Wapnick, who started Pretoria-based City Property in 1938. The property asset management company is now run by his son, Jeffrey. The Wapnick family also controls the empire of listed property loan stocks companies Octodec Investments and Premium Properties.

Source/Photo: Sunday Times [South Africa]

farai – who has written posts on Farai Today.

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