Enterprise Group Limited (Enterprise Group) has informed the Ghana Stock Exchange that South Africa’s largest insurer Sanlam Ltd has sold its US$ 130 million stake in the company.

Sanlam Emerging Markets Proprietary Limited, a subsidiary of the Sanlam Group, acquired the 40 percent stake in Enterprise Insurance in 2014.

Enterprise Group has also announced a new strategic partner in place of Sanlam in three of its subsidiary companies: Enterprise Life, Enterprise Insurance and Enterprise Trustees.

Enterprise Group will retain its majority stake in each of these subsidiary companies, a statement posted on the group’s website said:

“The new strategic partner is Black Star Holdings Limited (BSHL), a wholly owned subsidiary of LeapFrog Strategic African Investments (LSAI).

LSAI is a separate account managed by LeapFrog Investments and in which prudential Financial, Inc. is a primary investor.

LeapFrog Investments have $ 1 billion in assets under management and a portfolio of companies across Africa and Asia focused on financial services and health.” BSHL will acquire Sanlam’s stake in the three subsidiary companies of Enterprise Group for US$ 130 million, the post said, adding that BSHL has also committed funds to support Enterprise Group’s growth agenda over the coming years.

The transaction is subject to regulatory approvals and notifications in Ghana and South Africa.

Trevor Trefgarne, Board Chair of Enterprise Group says “This is an exciting transaction for Enterprise Group. With our new partner, LeapFrog Investments, we expect to be able to grasp growth opportunities both in Ghana and across the wider West Africa Region.

Enterprise appreciates the long and productive association with Sanlam in Ghana over the past 12 years.” Keli Gadzekpo, CEO of Enterprise Group added: “We at Enterprise Group are delighted to welcome leapfrog investments into the Enterprise Family.

They bring an incredible network of global insurance contacts and experience, and also the capacity to provide growth capital towards the realization of our very ambitious strategic objectives.

We are pleased they have chosen to partner with us.” Junior Ngulube, CEO of Sanlam says “In the 12 years of working with Enterprise Group, we have enjoyed a good partnership and a mutually beneficial relationship in Ghana.

Considering our strategic partnerships with both Enterprise Group and Saham Finances, it was mutually agreed that Sanlam should exit from Enterprise Group. However we will look to re-establish and grow our presence in Ghana, starting with Saham Ghana as our partner going forward.”

Doug Lacey, who co-led the transaction with Norm Kelly on behalf of LSAI, observed that “Enterprise Group is a pioneer in delivering vital financial services to emerging consumers in Ghana.

Its leading position in financial services, as well as dominance in insurance with over 28 percent of the market, is a testament to the quality of the financial services it provides.” Norm Kelly of LeapFrog Investments commented that “Leapfrog Investments are extremely pleased to enter into this strategic relationship with Enterprise Group.

Enterprise Group’s management team has built a robust platform for growth in West Africa. With our capital and expertise behind the business, we are confident that it will scale to provide millions more people with access to essential financial services.”