Adrian Gore sells $3 million in Discovery shares

Just months after a group of executives at Discovery Limited, including South African businessman Adrian Gore, sold roughly R100 million ($5.3 million) in shares, Gore has moved again, this time selling R50.3 million ($3 million) worth of Discovery stock in early December.

Adrian Gore, who rarely sells shares, executed two transactions involving part of his holdings. The reasons were not disclosed. The transaction appears linked to a hedge covering a portion of his stake. Such moves may reflect hedging, portfolio adjustments, or tax planning.

Hedge secured through December 2031

The recent moves involve 1.6 million shares, and the hedge will stay in place until December 2031. With his stake in Discovery now worth over $590 million, Gore appears focused on managing risk and guarding against market swings while maintaining his stake in the company. The transactions reflect the rolling over of his original hedges, which have now matured. 

Gore uses a collar strategy which combines put and call options to lower the risk of potential losses and limit potential gains. These arrangements were made to help with funding commitments related to rights offers and share subscriptions. If the market value falls below a certain level the put options let him sell shares at a set price.

Adrian Gore pockets $5.3 million dividend

Founded in 1992 by Adrian Gore and Barry Swartzberg as a medical insurer, Discovery has expanded into one of South Africa’s most diversified financial services groups. As of June 28, Gore held a 6.71 percent stake and reiterated that the company expects profits to exceed its medium-term target of inflation plus 10 percent without raising additional capital.

From his stake, Gore earned R91.65 million ($5.3 million) in dividends, confirming his position among the top dividend earners in South Africa’s financial services sector. Discovery declared a final dividend of R1.37 billion ($77.93 million) for the fiscal year ending June 2025, distributing R2.01 ($0.015) per share on Oct. 20.

Discovery reports $545 million profit

The strong payout coincides with robust financial results. Discovery reported a full-year profit of $545 million, a 27 percent increase from the prior year, with growth across its health, life, and Vitality units. Normalized operating profit rose 20 percent to R15.21 billion ($867.6 million), while headline earnings increased 30 percent to R9.63 billion ($549.1 million).

Earnings per share climbed 26 percent to 1,402 cents. Net asset value grew 21 percent to R65.7 billion ($3.75 billion), and total assets reached R327.45 billion ($18.67 billion). Discovery’s financial leverage eased to 16.8 percent, reflecting a shift toward organic growth. Shares on the JSE rose over 18 percent, thus propelling its market cap above $9.8 billion.