by Vernon Wessels
(Bloomberg) — African Rainbow Capital (Pty) Ltd., chaired by billionaire Patrice Motsepe, agreed to buy 10 percent in the main operating unit of Alexander Forbes Group Holdings Ltd. for 753.5 million rand ($56 million).
African Rainbow Capital, known as ARC, will pay 14.69 rand a share for the stake in Alexander Forbes Ltd., which houses the company’s African and international operations, Johannesburg-based Alexander Forbes said in a statement on Thursday.
Motsepe, the richest black South African, started African Rainbow Capital in April as part of a plan to build a financial-services company controlled by black people and spanning everything from life insurance, healthcare, money management and banking. Companies in South Africa have sold stakes to black investors to compensate for discrimination under apartheid, which ended in 1994, with the economy still controlled by the white minority.
