Pham Nhat Vuong, the founder of VinFast Auto Ltd. VFS, lost about $18 billion following a sharp decline in the company’s shares.
What Happened: The Vietnamese electric vehicle manufacturer’s shares closed at $15.40 on Friday, marking the end of a volatile week for the company. The shares had surged 255% to $37.06 on Tuesday, its first day of trading on the Nasdaq, but were followed by three consecutive days of losses, Bloomberg reported.
Why It Matters: This rapid drop in share price led to a corresponding decrease in Vuong’s net worth, which fell about 52% to $21.2 billion over the same period. Despite this, Vuong remains significantly wealthier than he was before the company’s listing, as Bloomberg’s index hadn’t accounted for his stake in VinFast until the company completed its SPAC merger this week.
VinFast’s market capitalization peaked at $85 billion on Tuesday, briefly surpassing General Motors Co., but ended the week around $36 billion, still ahead of EV competitors like Rivian Automotive Inc. RIVN, Nio Inc. NIO, and Lucid Group Inc LCID.
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