African Rainbow Capital
African Rainbow Capital (ARC), which was formed in 2015, is a fully Black owned and controlled company of significant scale focusing on opportunities in the South African and African financial services and diversified investments (non-financial) industries. We focus on acquiring a shareholding in businesses that deliver exceptional returns on equity.
ARC is a 100% subsidiary of Ubuntu-Botho Investments (UBI), a Black owned and controlled company which was created in 2004 with its initial main purpose of building black controlled capital. UBI has as its most significant investment a shareholding of about 14% (economic interest) in Sanlam, which makes it Sanlam’s single largest shareholder. As Sanlam’s empowerment partner, UBI continues to seek opportunities to unlock value to both Sanlam and UBI stakeholders.
From the outset UBI’s vision has been to make a difference in the lives of ordinary South Africans by being the premier black-owned and controlled financial services entity.
The first phase of realising this vision was the accumulation of capital in partnership with Sanlam. This objective has now largely been achieved, with UBI’s shareholding of some 14% in Sanlam valued at R20 billion (Sanlam share price at R65 per share).
The second phase has been about partially investing this capital in ARC which continuously positions itself as the leading South African black economic empowerment company.