Agile Capital and RMB Corvest complete buyout of Adcorp Support Services

A consortium consisting of Agile Capital and RMB Corvest has completed a management buyout of Adcorp Support Services (Pty) Ltd (“ASS”), along with the Management of ASS.
ASS has two divisions: Funeral Management Services (“FMS”) and Employee Benefits (“EB”). FMS, the larger of the two divisions, is a niched outsourced service provider to the long-term insurance industry, providing body repatriation and related value-added services. The other entity, EB acts as a broker to provide tailored employee benefit solutions.
Liz Kolobe, principal dealmaker at Agile Capital says: “Recently approved by the competition commission, our investment will not only provide value adding strategic insight, but will additionally strengthen the empowerment credentials of the business.”. Agile Capital has a demonstrable track record of investing across various sectors in the South African economy and fostering long-term relationships. The new shareholding will incorporate a significant BEE element into the deal.
Existing management formed part of the transaction and have become shareholders in the new entity which will be headed by Trevor Fowler as the Chief Executive Officer. “As management, we are looking forward to partnering with these experienced and reputable private equity firms to enable our long-term growth plans.”
Rob Grieve, executive: RMB Corvest says that the company’s track record and the long-standing management team made it an attractive investment opportunity. “Given the increasing demand for the unique service offering of ASS, we believe that the business will continue to grow. Additionally, the current management team have exceptional relationships with clients and are highly regarded in the industry.” RMB Corvest looks to long term partnerships with entrepreneurial management teams – providing them with both finance and strategic support.
“The business is a niche service provider, with a blue chip client base and a history of strong cash flow generation. We are confident in expanding the existing customer base and product offering and growing the the business accordingly,” concludes Grieve.

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