Stephen Saad Raises Aspen Stake By 5.6 Million Amid Stock Slump

Stephen Saad increases his stake in Aspen Pharmacare, signaling confidence as the company battles mRNA disputes and regulatory setbacks.

Aspen shares have plunged over 28 this year, wiping 1.2 billion from its value amid earnings warnings and FDA compliance issues.

Aspen must resolve contract disputes, regain regulatory approval, and manage debt pressures to stabilize after its sharpest stock drop in two decades.

Stephen Saad, the South African billionaire who founded and runs Aspen Pharmacare, is standing firmly behind Africas largest pharmaceutical company as it battles one of the toughest periods in its history.

A regulatory filing on May 8 showed that Saad, who already owns 12.8 percent of Aspen about 57.2 million shares, bought even more stock through his investment company, K2019068922 South Africa Pty Ltd, where he serves as a director. The transaction, disclosed in a directors' dealings notice to the Johannesburg Stock Exchange , was executed on May 6 and 7.

The move comes as Aspens shares have been under heavy pressure this year, mainly due to a contract dispute over mRNA technology that has wiped more than R22 billion 1.2 billion off its market value. Earlier this year, Aspen was valued at over 4.2 billion. Saads decision to buy more shares sends a strong message: he still believes in the companys future.

Aspen has seen its stock price tumble more than 28 percent since January, with the biggest blow coming on April 22 when the stock dropped over 30 percent in a single day to R112 6.15. It was Aspens sharpest one-day fall in more than two decades. The selloff followed a warning that a potential R2.77 billion 147.2 million loss could hit the company's earnings in 2025, linked to the mRNA manufacturing dispute.

Adding to the pressure, Aspen is facing regulatory challenges after a key South African plant failed to meet U.S. Food and Drug Administration standards. Analysts have also flagged concerns about its debt levels and warned that rising U.S. tariffs could hurt pharmaceutical supply chains around the world.