Alexander Forbes’ share price leapt 22.3 percent to R4.60 Friday morning after it announced that New York listed, Prudential Financial and LeapFrog Investments Group, would acquire a minority stake in the local provider of financial advice, retirement and investment services.
The deal will build on Prudential Financial’s partnership with LeapFrog Investments to access high-growth financial services markets in Africa, and deliver essential financial tools to emerging consumers, a statement from Prudential said on Friday.
Since 2016, Prudential and LeapFrog had invested in “high-quality market leaders across the African continent”, including Enterprise Group in Ghana and ICEA LION in Kenya,“ the company said.
“We are excited to broaden our presence in Africa and enter South Africa with an investment in Alexander Forbes through our partnership with LeapFrog Investments,” Prudential Financial’s regional president Pavan Dhamija, said.
Gary Herbert, COO at LeapFrog Investments said the partnership was backing Alexander Forbes, “to continue to provide life-changing access to retirement and investment benefits in Southern Africa.”
“Their investment affirms the impact we make on people’s lives, the quality of our team, and the potential that exists to unlock even greater value for our stakeholders,” said Alexander Forbes CEO Dawie de Villiers. The stake is being acquired from Mercer.
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