LeapFrog Investments has announced a Rs. 62 Crore (US $14M) investment in Apollo Investment Ltd (AIL) – a leading East African insurance group. LeapFrog, launched with US President Bill Clinton in 2008, has become the world’s largest investment fund focused on insurance to under-served people. The fund has focused on India as a key market, and plans to make a major investment in the coming months.
LeapFrog co-founder, Dr. Jim Roth, who leads LeapFrog’s investment efforts in India, says“We are on the cusp of a major deal in India. The Apollo investment demonstrates how LeapFrog supports strong management with capital and expertise. We help position a company to be a national leader by focusing on the opportunity mass market insurance presents for growth and profitability.” Roth added, “India is a key market for LeapFrog now and in years to come.”
Daniel Ndonye, AIL Board Chair said, “With its global insurance experience, LeapFrog is the ideal value-add investor in insurance companies, looking to expand rapidly in new markets.” LeapFrog’s team brings decades of operational experience in distribution and product design, as well as other areas across the insurance value chain, and can support management teams to reach untapped markets and achieve ambitious objectives.
“LeapFrog is a swift and thoughtful partner,” said Ashok Shah, who is continuing as Apollo CEO. “LeapFrog capital and global insurance expertise will help Apollo to become the preeminent regional player in insurance – including in microinsurance. We are taking the next leap.” Mr Shah is the recent winner of the Lifetime Achievement Award for his contribution to the Kenyan insurance industry.
Beyond its current life, health, and property insurance activities, Apollo is now targeting a market of 7.9 million self-employed people in the informal sector. Success for AIL and LeapFrog will mean a major increase in affordable insurance cover for under-served people.
The Indian market will surely benefit from an investment of resources and time by LeapFrog, boosting inclusive financial services as a focus for international investment, and ensuring that many more Indians access the financial products and security they need.
Source: India Infoline