Table of Contents
Key Points:
- Merali family’s Sasini Tea stake drops by Ksh523.46 million ($4.06 million) over three months amid broader market challenges.
- Sasini Tea’s stock falls 14.8% from Ksh20.95 ($0.16) to Ksh17.85 ($0.14), with market cap slipping below $32 million.
- Despite losses, Merali family retains a 65.46% stake in Sasini Tea, valued at $23.39 million
Kenya’s wealthy Merali family is grappling with a significant decline in the market value of their stake in Sasini Tea, marking a continuation of recent financial setbacks for the prominent agribusiness.
According to data tracked by Billionaire.Africa, the Merali family’s investment in Sasini Tea has plummeted by Ksh523.46 million ($4.06 million) over the past three months, reflecting broader challenges within the Nairobi-based company.
Market cap drops below $32 million amid 14-percent share decline
Sasini Tea, a renowned agribusiness company, maintains active operations across the country cultivating and processing tea, coffee, avocado, and macadamia nuts. The company also focuses on value-added production for both domestic and international markets.
The company’s financial performance for the first half of its 2024 fiscal year further reflects the challenging conditions. Sasini reported revenue of $22.88 million but faced a loss of Ksh37.67 million ($0.29 million), in stark contrast to a profit of Ksh122.11 million ($0.93 million) in the same period last year.
Sasini Tea’s stock has seen a significant 14.8-percent drop, from Ksh20.95 ($0.16) on May 7 to Ksh17.85 ($0.14). Consequently, the company’s market capitalization has fallen below $32 million, signaling a troubling trend for shareholders.
Merali family remains a key investor despite losses
The Merali family, Sasini’s largest shareholder, owns a 65.46 percent stake, equivalent to 168,856,800 shares valued at $23.39 million. This positions them among East Africa’s wealthiest families.
Sasini’s falling share price has reduced the Merali family’s stake by Ksh523.46 million ($4.06 million). Their holding dropped from Ksh3.54 billion ($27.45 million) on May 7 to Ksh3.01 billion ($23.39 million). Despite this decline, they remain prominent investors on the NSE.
Sasini Tea has faced negative returns in 2024, with shares down 10.75 percent year-to-date. A $100,000 investment at the start of the year would now be worth about $89,250, reflecting a $10,750 loss and highlighting the risks for investors.
The intelligence satisfies curiosity. The paid briefings satisfy strategy.
Every Monday, Elite subscribers receive an Investor Memo breaking down the deal, the structure and the positioning behind the week's most consequential African wealth story - the kind of analysis that doesn't appear anywhere else.
Twice a month, a Wealth Intelligence brief profiles a single billionaire's holdings, cash flows and expansion pipeline in detail no public source matches.
→ Executive ($25/mo): Daily newsletter + Deep-Dive Reports
→ Elite ($75/mo): Everything above + Investor Memos + Wealth Intelligence + Quarterly Analyst Briefings
Subscribe now
