PwC Sri Lanka Deals team are pleased to have advised Finnish Fund for Industrial Corporation Ltd. (“Finnfund”) and the Norwegian Investment Fund for Developing Countries (“Norfund”), two sovereign wealth funds with their landmark investment in Softlogic Life PLC.
Norfund and Finnfund collectively signed a USD15Mn million tier II subordinated debt transaction with Softlogic Life on August 24, 2020. This investment marks one of Norfund and Finnfund’s first investments in Sri Lanka’s insurance industry.
PwC Sri Lanka Deals team acted as the due diligence advisor to both Finnfund and Norfund in connection with the transaction. This transaction is particularly noteworthy as it was completed successfully during the COVID-19 pandemic.
Norfund and Finnfund are impact investors funded by the Governments of Norway and Finland respectively, together with private capital markets. The funds objectives are to invest in sustainable development through responsible and profitable businesses across the globe. This is FinnFund’s first investment in the Insurance sector.
Softlogic Life Insurance PLC, a unit of Softlogic Holdings PLC, is the third largest life insurer in Sri Lanka. Softlogic Life doubled its market share within the past five years and covers more than a million lives. In 2019 Softlogic Life Insurance grew by a phenomenal rate of 25% compared to the industry growth of 11%.
Softlogic Life recently made it to the Forbes Asia’s ‘Best Under A Billion 2019’ list, a business ranking which spotlights Asia’s 200 top-performing listed companies with less than USD 1Bn in revenue with consistent top and bottom-line growth. Softlogic Life is the only company in Sri Lanka and one of the two insurance companies in the Asian region to achieve this momentous feat.
PwC Sri Lanka Deals team has also advised Leapfrog Investments, a leading profit with purpose investor in 2018, on its equity investment in Softlogic Life Insurance PLC.