South Africa’s first black billionaire launches private equity firm

Billionaire South African Patrice Motsepe has launched a new financial services investment company.

African Rainbow Capital (ARC) is set to focus on investing in financial services companies. Despite being established very recently, ARC has already invested in insurance broker Indwe Broker Holdings and special purpose acquisition company Capital Appreciation.

Patrice Motsepe is South Africa’s first and only black billionaire; according to the FORBES’ Realtime billionaire scoreboard he has a net worth of roughly $1.5 billion.

ARC is a subsidiary company of Ubuntu-Botho Investments (UBI), a black empowerment investment holding company which is the empowerment partner of Sanlam - a financial services company in which Motsepe owns a stake of.

Former Sanlam CEO Johan van Zyl and Sanlam Investments CEO Johan van der Merwe jointly head the company while Motsepe is the chairman.

Patrice Motsepe’s fortune grew at the end of apartheid when he began offering services to the mining industry – he has since gone on to found companies and holds interests in a range of different metal commodities.

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SOURCE: [Forbes]