Motsepe’s ARC Swings Control of AlexForbes, Prudential Pulls Out

ARC AF Holdings, tied to billionaire Patrice Motsepe’s African Rainbow Capital, is set to raise its ownership of South Africa’s largest independent retirement‑fund administrator, Alexander Forbes, to 77.94% from its current 49.88%. The move will see US‑based Prudential Financial divest its stake in the firm.

Shares in Alexander Forbes surged 9.4% on the news, hitting a peak that had not been reached since March 2025, before settling 6.5% higher at 10:13 a.m. in Johannesburg. The rally lifted the company’s market value to roughly R9.4 billion.

Prudential’s interest in Alexander Forbes dates back to 2022. The company’s New Veld unit, which holds 34.39% of the shares, will sell 372.8 million shares for about R2.5 billion. Motsepe’s ARC will acquire the remaining 74.1 million shares directly.

Alexander Forbes will fund the buyback with cash reserves and a R2.1 billion loan. The transaction is contingent on shareholder approval of the repurchase.

The deal underscores African Rainbow Capital’s focus on financial services and fintech, where it already holds positions in Sanlam and Tyme Group.