Abramovich lost £12 billion on the Russian stock
exchange
Roman Abramovich has lost £12 billion on the
Russian stock exchange, it was revealed today. The owner of Chelsea
FC has seen his fortune dwindle as Russia's Micex Index has gone
into freefall.
The decline in value of two of his companies on the Moscow-based
index, steel maker Evraz and mining company Highland Gold, has left
the 41 year-old tycoon $20.3 billion (£11.9 billion) out of
pocket.
The staggering loss was revealed today by analysts who said it
represented a decline in the equity value of traded companies.
Abramovich's woes come on a disastrous financial day for London's
Premiership football clubs with the owners of Arsenal and West Ham
also suffering.
Arsenal FC's part owner Alisher Usmanov has lost £7 billion
($11.7 billion) on the Micex index which has declined 61 percent
since its peak in May and was closed today for the second time this
week.
The metals and mining mogul and Abramovich are part of a list of
25 Russian oligarch's who have lost £140 billion ($238 billion) on
the Micex index.
The country's ailing economy has also been hit by war with
Georgia and foreign capitalists withdrawing billions of pounds
worth of investment from a nation facing a period of
instability.
West Ham were plunged further into crisis as it was revealed
that the east London club's Icelandic owner Bjorgolfur Gudmundsson
is considering selling the club after losing £230 million in the
country's own economic crash.
Abramovich's unprecedented loss will set alarm bells ringing in
the football world and the City. It comes after Chelsea chairman,
Bruce Buck suggested this week that the club could sell players to
survive the financial turmoil.
He said: “Even with a benefactor like Roman Abramovich, if we
think revenues are going to go down a bit we have to look at our
expense side to look for areas where it is appropriate for us to
save money. That's actually a process we are engaged with at the
moment.”
