South Africa's ARC Investments IPO targets $650 million valuation

ARC Investments, a holding company co-founded by South African mining tycoon Patrice Motsepe, said it will sell shares worth 4 billion rand ($306 million) in an initial public offering that values the company at 8.5 billion rand. African Rainbow Capital Investments, or ARC, announced on Monday it will sell more than 471 million shares, or around a 47 percent stake, at 8.50 rand each, with about 25 percent sold to three cornerstone investors, including Singapore's sovereign wealth fund GIC Pte Ltd.
ARC was formed about a year ago by Motsepe and two other veteran financial services executives, Johan van Zyl and Johan van der Merwe, to build a company controlled by black people and spanning everything from life insurance, healthcare, money management and banking. Other cornerstone investors are the Public Investment Corporation, Africa's biggest pension fund with 1.8 trillion assets under its custody, and Sanlam Private Wealth, the asset management arm of South Africa's biggest insurer Sanlam.