NAIROBI, Kenya, Sept 26 – Private Equity Fund AfricInvest has acquired a 14.30 percent stake in Britam Holdings Plc for Sh5.7 billion.
AfricInvest has entered into a conditional share subscription agreement to buy nearly 361 million new ordinary shares of Britam at a subscription price of Sh15. 85 per share.
The proposed acquisition is subject to the relevant regulatory and shareholder approval and will be concluded once the approvals have been received.
“Britam Holdings Limited hereby announces for the benefit of its shareholders and the investing public that it has on 25 September 2017 entered into a share subscription agreement with AfricInvest III – SPV- 1 pursuant to which the investor will subscribe (the Proposed Subscription) for three hundred and sixty million eight hundred and sixty million eight hundred and eighty-three thousand, two hundred and eighty one ordinary shares to be issued by the company,” the company said in a statement.
The transaction comes weeks after World Bank’s investment arm, IFC, paid Sh3.5 billion for 10.37 percent of Britam.
AfricInvest is a Special Purpose Vehicle (SPV) formed by a consortium of global investors from the Federal Republic of Germany, Netherlands, and France managing about one billion dollars in 14 private equity funds.
Its most recent investments in the insurance industry are UAP Holdings (East Africa), Mansard Holdings (Nigeria) GAT Assurance (Tunisia) and UAB Life (Burkina Faso)
Britam Holdings Group Managing Director Dr. Benson Wairegi said the decision by the fund to invest in Britam is a statement of trust in the leadership and long term future of the Group.