LeapFrog Investments invests in UT Life, taking a majority stake in the leading life insurer. UT Life is a growing business with a strong local brand, offering quality, affordable insurance products.
Accra, Ghana, January 27 2016: LeapFrog Investments (“LeapFrog”), a specialist investor in emerging markets on Wednesday announced that LeapFrog has acquired a majority stake in UT Life Insurance Company Ltd (“UT Life”), one of the key players in the life insurance sector in Ghana. This is LeapFrog’s third direct investment in Ghana, and second in the life insurance sector. LeapFrog is a fast-growing investor in Africa, injecting capital, deep expertise and exceptional local knowledge into the companies in which it invests.
UT Life is a rapidly growing life insurer, with a significant market share in funeral and educational savings policies. It is focused on the mass market and seeks to reach over 1 million people by 2020. The Ghanaian market offers major opportunities for growth, as insurance penetration is below 2% of GDP.
UT Life was formerly controlled by UT Holdings, a diversified Ghanaian holding company that acquired the insurer in 2010. UT Holdings, which also is a major owner of UT Bank, will remain a shareholder in UT Life and serve as a strong local counterparty to support the business on the ground. UT Life has a network of nine branches across the country and also operates through a bancassurance arrangement with UT Bank, which has 30 bank branches across Ghana. UT Holdings plans to use the proceeds from the sale to help enable growth at its other group subsidiaries, including UT Bank.
Doug Lacey, Partner at LeapFrog Investments said: “We were attracted by UT’s unwavering commitment to Ghana’s mass-market. UT Life is exceptionally well positioned to grow, to prosper and to help millions to make the most of their lives. We’re backing that potential.”
Martyn Mensah, Chief Executive Officer of UT Holdings said: “LeapFrog is the leader in designing insurance products for the mass-market and is made up by an exceptional team of strategic operators. They are the right partner to take UT Life to its next level of growth. We look forward to seeing UT Life reach new heights as a leading force in the Ghanaian life insurance market.”
Kwaku Yeboah-Asuamah, Chief Executive Officer of UT Life said: “Our vision is to be the most innovative and affordable life insurer for the consumer mass market in Ghana. We believe our partnership with LeapFrog will give wings to our growth plans and enable us to benefit from LeapFrog’s rich insurance expertise and knowledge.”
About LeapFrog Investments
LeapFrog Investments is a specialist investor in emerging markets, seeking the growth opportunity presented by two billion emerging consumers in Africa and Asia. LeapFrog’s portfolio companies currently provide insurance, savings and pensions products across 21 markets including Ghana, Kenya, Nigeria, South Africa, India, Indonesia, Thailand, and The Philippines. LeapFrog uses a profit-with-purpose approach to investing, recognising its ability to generate strong results and change many lives. LeapFrog has unlocked over a billion dollars of investment from leading global institutions that share this vision. Visit www.leapfroginvest.com and follow LeapFrog on Twitter @LeapFrogInvest.
About UT Life
UT Life Insurance Ltd is a local Ghanaian success story. The company, which was incorporated in 2005, was acquired by UT Holdings and rebranded as UT Life Insurance Ltd in 2010. Since then, business has grown over 80% per annum to become one of Ghana’s largest life insurers. In 2016, LeapFrog Investments acquired a majority stake in the business from UT Holdings to enable it to reach new levels of growth and impact. UT Life was recently voted the Most Promising Life Insurance Company in the Reinsurance Cedant Awards. http://www.utlifeghana.com/
About UT Holdings
UT Holdings is a private leading brand with one of the most diversified holding interests in the financial services sector in Ghana. As an award-winning brand, UT Holdings is made up of eight subsidiary companies which focus on Banking, Life Insurance, Logistics, Properties Management, Debt Recovery and Private Security Services. It also has a non-bank financial institution in Nigeria. Dedicated to the vision of being, “The best shareholder value creator in Africa”, UT Holdings consistently offers value added services to its clients, producing steady growth in a very buoyant market space. With a workforce of over 1,800 dynamic and dedicated professionals working in 45 locations in Ghana and Nigeria, UT Holdings provides assorted but integrated solutions to small and medium-sized businesses and individuals, by driving the synergies of the various award winning businesses. www.utholdings.com