As published by the Botswana Gazette on December 11th 2020
Strategic partnership to offer inherent benefits of global knowledge, African insights and local expertise.
Gaborone, 11 December 2020: Minet Group and Africa Lighthouse Capital today announced their intention to acquire Aon’s shareholding in Aon Holdings Botswana, subject to regulatory approval.
Minet Group is a trusted pan-African risk advisory firm and Aon’s largest Global Network Correspondent. Minet Group has been rapidly expanding its African footprint since 2017 through the acquisition of Aon’s operations in Kenya, Lesotho, Malawi, Mozambique, Namibia, Tanzania, Uganda and Zambia.
Aon, a leading global professional services firm providing a broad range of risk, retirement and health solutions, operates successfully through correspondent arrangements in a number of countries on the African continent and globally. This transaction will further enhance Aon’s comprehensive correspondent network on the continent, backed by an African-owned company. The new entity in Botswana will have the benefit of consistency in leadership and staffing, with Barnabas Mavuma, currently MD of Aon Botswana, continuing to lead the business supported by the local management team.
Africa Lighthouse Capital (ALC) is a leading Botswana citizen-owned private equity firm focused on investing in Botswana companies and propelling them into regional champions, with over BWP 500 million in funds under management.
On the occasion of the announcement, Joe Onsando (CEO Minet Group) and Bame Pule (Founder & CEO Africa Lighthouse Capital) said:
“The African continent presents great opportunities for growth and this transaction reiterates our positive investment outlook for the continent, anchored in sound long-term fundamentals. This transaction will enable us to be even more responsive to the needs of our clients and will undoubtedly have a positive impact on both product development and client service delivery. The combination of global, pan-African and in-country expertise will continue to help us lead the market in risk management on the continent,” Joe Onsando, CEO of Minet Group.
“Africa Lighthouse Capital is delighted to invest in the leading company in Botswana’s insurance brokerage and pension fund administration sectors. We look forward to working with the company’s existing management team to reposition for growth by emphasising its local ownership, knowledge, and relationships. We will work actively to create value by focusing on business development and increasing efforts in targeted sectors,” Bame Pule, Founder & CEO of Africa Lighthouse Capital.
Continuity and benefits for clients:
Aon clients, both within and outside of Botswana, will experience continuity of product and service delivery standards in the short term. In the medium to long term, clients can expect an enhanced offering that combines locally relevant product innovation with optimal broking strategies. Local Aon Botswana clients will continue to receive the service they have come to expect with continuous full access to the global Aon network. Additionally, global Aon clients and clients with pan-African programs will experience an enhanced offering, combining consistent quality service in the region with optimal broking strategies via local carriers and the international marketplace.
Strong, experienced and committed buyers, with an aim to localise:
Minet and ALC have a sound understanding of local market conditions, strong governance and an established track record in the region. These qualities, combined with Aon’s global capabilities and expertise, will bring clear benefits for clients.
This transaction will vastly increase citizen ownership with shareholders who are going to be active in the business. The investment by ALC represents a renewed focus on the Botswana market and shall help deepen the focus, broaden the variety of products offered and to expand the number and types of clients beyond where they are today. The transfer of equity interests in Botswana to investors with local and regional expertise, presence and commitment will allow the businesses to move quickly in line with market movements, and to introduce products that are tailored to the local market.