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Sanlam buys into online broker targeting East Africa

SAN

Sanlam owns a 68 per cent stake in Sanlam Kenya, formerly Pan African Holdings. PHOTO | COURTESY

South African financial services group Sanlam has bought a 30 per cent stake in SA’s online stock broker Easy Equities, which has growth plans for East Africa.

The move by Sanlam solidifies the prospect of the South African online stock broker, that observers say has disrupted and democratised share trading for South Africans, setting up in the Kenyan and other market.

“The EasyEquities transaction with Sanlam Investments provides our fintech winner with added capital, skills and the ability to continue on the path we’re on — aggressive growth in client numbers, products on the site for client benefit and a way for all South Africans to access the financial markets — in South Africa and excitingly also in the US,” Purple Group’s CEO Charles Savage said.

“We also look forward to announcing our international growth plans where the collaboration with Sanlam Investments provides invaluable insights, guidance and access to various jurisdictions.”

Sanlam owns a 68 per cent stake in Sanlam Kenya, formerly Pan African Holdings #ticker:PAFR.

It completed in July the acquisition of a majority stake in Kenya’s largest fund manager by portfolio value, PineBridge Investments East Africa Limited.

READ: Sanlam set to buy controlling stake in PineBridge

South Africa’s Purple Group’s online investment platform EasyEquities allows anyone to invest in the Johannesburg Stock Exchange by accepting investment amounts as small as Sh78.

Launched in October 2014, EasyEquities has been successful at lowering the costs and complexity of products to South Africans looking to open investment accounts at whatever scale.