African Rainbow Capital (ARC), an investment firm controlled by South African billionaire Patrice Motsepe, has acquired an 18.36% stake in public listed Afrimat, a company listed on the Johannesburg Stock Exchange. Afrimat is a leading black empowered open pit mining company providing industrial minerals and construction materials.
“Afrimat is of the view that this will create a long-term and sustainable black economic empowerment partner with certainty around shareholding which will build further value for Afrimat,” Afrimat CEO Andries van Heerden said in a press release. Afrimat’s shares gained over 5% after the company announced the transaction.
African Rainbow Capital (ARC) is a fully black owned investment company focusing on the South African businesses that deliver exceptional returns on equity. ARC’s current portfolio includes an insurance broker, a fibre provider, and a healthcare provider.
Patrice Motsepe, South Africa’s first and only black billionaire, is the CEO of African Rainbow Minerals and a South African mining magnate with interests in gold, ferrous metals, base metals, and platinum. He also sits on several company boards including being the non-executive chairperson of Harmony Gold, the 12th largest gold mining company in the world, and is the deputy chairperson of Sanlam.
Motsepe was named South Africa’s richest man, topping the Sunday Times’ annual Rich List with an estimated fortune of R20.07 billion ($2.4 billion). In 2003, he became the owner of football club Mamelodi Sundowns. He has a current net worth of $1.46 billion according to FORBES’ Realtime billionaire scoreboard.