Atlas Mara has completed the sale of its 10,1% stake in Zimbabwe-focused private equity and advisory firm, Brainworks Capital Management, in a transaction worth $8,72 million.
BY BUSINESS REPORTER
In June, the Bob Diamond co-founded Atlas Mara said the disposal of its Brainworks stake was consistent with its focus on sub-Saharan Africa banking operations and strategy of selling non-core investments acquired in connection with its acquisition of ADC African Development Corporation AG.
In a notice yesterday, Atlas Mara said: “In connection with the transaction, Atlas Mara, by way of an indirectly wholly-owned subsidiary, repurchased 664 300 Atlas Mara ordinary shares and received approximately $3,1 million in cash.”
Last year, Atlas Mara — founded by Diamond and billionaire entrepreneur Ashish J.
Thakkar — bought a controlling shareholding in pan-African banking group BancABC and ADC as part of its strategy to set up a premier financial services company in sub-Saharan Africa. ADC had shareholding in Brainworks.
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Atlas Mara’s vision is to create sub-Saharan Africa’s premier financial services institution through a combination of its experience, expertise and access to capital, liquidity and funding.
By its acquisition of the pan-African banking group, Atlas Mara established a presence in Zimbabwe, Zambia, Mozambique, Botswana and Tanzania. Atlas Mara also has a presence in Rwanda and Nigeria.
The African continent presents opportunities for banking groups as financial inclusion has not deepened. The advent of mobile money has helped to bring on board those financially excluded.
Atlas Mara will fight it out with Barclays, Ecobank and Standard Bank.