Ackerman Family Relinquishes Control Of South African Retail Giant Pick n Pay
Image Source: Ackerman Family Steps Aside Amid Revamp Of Pick N Pay Stores
Published by Everything ZA News
Johannesburg, South Africa – In a significant shake-up, Pick n Pay, South Africa’s third-largest grocer, announced on Monday that the founding Ackerman family will relinquish control of the company. This comes after nearly 60 years at the helm.
The move follows a planned rights offer aimed at raising capital. Ackerman Investment Holdings (AIH), the family’s investment vehicle, has agreed to give up its majority voting stake. The exact mechanism is still being finalised, but the outcome will see their voting rights fall below 50% after the offer is completed.
Furthermore, the Ackerman family surrenders the right to nominate key positions like chairman, CEO, and CFO with immediate effect.
Gareth Ackerman, who has served as chairman for 14 years, will step down from the position next year. He, along with siblings Suzanne and Jonathan Ackerman, will remain on the board with a reduced presence.
In a statement, Gareth Ackerman acknowledged the need for change. “We believe it’s the right time to hand over to new blood,” he said. He cited the evolving retail landscape and the need for fresh ideas at Pick n Pay, including the board level.
“Recent challenges have presented an opportunity to accelerate this renewal process,” he added.
Pick n Pay has faced difficulties recently, including a full-year loss reported earlier this week. The company hopes this restructuring will help them turn things around and regain market share.
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