African Rainbow Capital (ARC) is a fully black owned and controlled investment company focusing on the South African and African financial services industry and businesses that deliver exceptional returns on equity.
Ubuntu-Botho Investments was created in 2004 with its initial main purpose building black controlled capital through being Sanlam's empowerment partner. In addition the vision of Ubuntu-Botho Investments from the outset was 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 Ubuntu-Botho Investments holding about 14.5% of Sanlam's issued shares and being valued at about R17bn at present.
The second phase will entail partially investing this capital in African Rainbow Capital, which is set to become a leading South African based, black owned and controlled financial services company.
ARC's business philosophy has dual aims – benefitting its stakeholders and positively contributing to the lives of South Africans.
Its vision is to be a leading provider of financial services, covering the full spectrum of fiscal needs, such as life insurance, health care, asset management, general financial services, short-term insurance, property and banking. We do this by building strategic partnerships, both in South Africa and further afield, by obtaining equity stakes in product providers. Astute capital management is used to create the best possible return on equity. In this way, we create value for our stakeholders.
ARC makes a difference on a much broader front by supporting deserving communities and causes through wide-ranging social and corporate investment initiatives. We strive to uplift previously disadvantaged individuals and assist them to achieve financial independence during their lives. We also support diverse groups such as trade unions, churches, traditional leaders, women and the youth through Ubuntu-Botho Investments, which is Sanlam’s empowerment partner and which owns ARC.
The values that form the foundation of everything we do are respect, integrity, accountability and excellence.
Ubuntu-Botho Investments Board of Directors
ARC is a 100%-owned subsidiary of Ubuntu-Botho Investments (UBI). The shareholding structure of UBI includes a broad base of stakeholders that includes church groups, trade unions and women’s groups, amongst others.
Ubuntu-Botho Investments Board
The broad-based empowerment groups that hold a 20% stake are made up of 20 investment entities, including provincial public companies, women’s groups and trusts, churches, youth organisations and trade unions.
To date, over 400,000 people have directly benefitted from the annual disbursement of funds through the Sanlam Ubuntu-Botho Investments Community Development Trust. In addition to wealth generated for its shareholder base, half of the profits will be redistributed to the community through various foundations.
ARC Board of Directors
The ARC Board is constituted of independent, non-executive and executive directors. Currently the board consists of:
A culture of good corporate governance is instilled at board level and is applicable to the entire organisation. We engage our stakeholders with transparency, honesty and respect and conduct our business ethically. It is not sufficient to just follow codes, rules and policies, but rather that those charged with oversight, by their nature, are trustworthy and ambitious to act in the best interest of the company and its stakeholders.