Bloodbath in one stock erodes net worth of Rekha Jhunjhunwala by $275 million

Rekha Jhunjhunwala, the wife of late investor Rakesh Jhunjhunwala, has lost over INR 2,300 crore ($275.4 million) in net worth in just the last one month. Earlier on Monday (May 6), she lost over INR 800 crore ($95 million) in one day. According to media reports, the massive slump in Jhunjhunwala's net worth is due to the record decline in the value of Titan Company shares.

Titan Company shares have witnessed a slump of INR 424 ($5) in just one month. This  resulted in the massive erosion of Rekha Jhunjhunwala's net worth. Not just that, Life Insurance Corporation of India (LIC), an Indian multinational public sector life insurance company, also witnessed a drop of INR 772 ($92 million) crore in its net worth because of Titan shares.

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Rekha is one of the key shareholders in the company, having over 5.35 per cent stake as of March 31, 2024. 

According to analysts, the share of Titan fell after the company recorded a 7 per cent rise in standalone net profit at INR 786 crore in Q4 from INR 734 crore in the same quarter last year.

However, major broking companies are hopeful of positive performance in the long run. “We remain optimistic about Titan's long term performance driven by the market share gain in the jewellery business on account of strong brand name and execution, scaling up, and improving profitability of other brands,” said Antique Stock Broking.

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The share price fell from INR 3,679 a month ago to INR 3,255 on Wednesday (May 8), marking a decline of INR 424 in the last 30 days. 

Total net worth of Rekha Jhunjhunwala

According to Forbes, Rekha Jhunjhunwala's net worth is about $8.7 billion (As of March 25, 2024). She inherited most of it from her late husband Rakesh. Her portfolio includes shares of prominent companies like Titan, Metro Brands, Star Health, and Allied Insurance Company.

Rakesh Jhunjhunwala breathed his last on August 14, 2022, at Breach Candy Hospital in Mumbai. He reportedly suffered from kidney-related problems and acute multiple organ failure.

(With inputs from agencies)