Alexander Forbes enters strategic partnership with Evo Financial Services
In another of the 22 potential deals that Alexander Forbes hopes to complete in Africa, the firm has signed a partnership with Evo Financial Services, primarily to bolster its operations in the healthcare segment. The partnership is set to embark on business amounting to approximately R12 million.
South African consulting firm Alexander Forbes is currently undergoing a mixed transformation. On the one hand, the firm has made the decision to cut back on its international operations to focus on becoming a pan-African firm, in light of economic instability across the world.
On the other hand, 95% of the firm’s operations are concentrated in South Africa, which necessitates rampant expansion activity if the pan-African character is to be obtained. Such is the motivation behind the firm’s spike in activity lately, as it moves to make strategic acquisitions and strike deals across the continent.
Over the next three to five years, the firm hopes to expand the share of business outside of South Africa to at least 10% of its operations, reportedly through the completion of 22 deals across the continent. Having acquired African Actuarial Consultants in Zimbabwe last year, the firm has now struck a deal with consulting firm Evo Financial Services.
Evo is primarily a healthcare consulting firm, which works with employees to help secure their insurance and health needs. The firm has cumulative experience of over 60 years in consulting, and is particularly credible due to its compliance with B-BBEE stipulations. Evo is 100% black-owned, and has a management team that is 33% female, giving the firm a strong foundation in South Africa and across the continent.
Alexander Forbes has a similar focus on employee-benefits, working with individuals at the varying stages of their professional life, from investment and actuarial services, to pension and healthcare consulting. The latter domain is set to receive a considerable boost from the partnership with Evo, given its reach into the labour unions of important industries such as mining. In addition, the advantage of B-BBEE compliance will facilitate collaboration with international firms.
Evo, meanwhile, will benefit from the expansive infrastructure that is controlled by Alexander Forbes. The firm has been active in the employee-benefits domain since 1935, is listed on the Johannesburg Stock Exchange as of 2014, and generates revenues of over R4 billion, making it one of the most prominent professionals services firms across Africa.
Together, the firms have initial plans to carry out consulting contracts worth approximately R12 million. Commenting on the new partnership, Butsi Tladi, Managing Director for the Health segment at Alexander Forbes, said, “Evo already has an exciting pipeline of business opportunities and our collaboration will improve their conversion rates and fast-track their ambition to become a formidable player in the industry.”
Senzo Mthembu, CEO of Evo Financial Services, added, “Health is the new wealth and Evo’s mission is to provide innovative solutions that preserve and enrich the lives of South African employees. We are ambitious about the impact we can make in the industry and we are proud to partner with Alexander Forbes, the largest heathcare adviser in the country.”
