Ackerman family cuts stake in Pick n Pay as South Africa’s retail sector shifts
The founding family sells a significant block of shares as the retailer navigates a changing market industry.
SOUTH AFRICA – The Ackerman family has reduced its ownership in Pick n Pay after offloading 64 million shares through an accelerated bookbuild that brought in roughly US$93.06 million.
The shares were sold at US$1.46 each, which is a 6.4 percent markdown from the retailer’s closing price on 17 November 2025.
This disposal represents 8.5 percent of Pick n Pay’s ordinary share capital, and it lowers the family’s voting interest from 49 percent to 36.8 percent.
As a result, the family no longer has majority control, although it remains the company’s main shareholder.
In a statement, the Ackermans said they remain committed to the retailer, its chief executive Sean Summers and the ongoing turnaround strategy.
The family continues to hold 135.35 million ordinary shares after the transaction.
The deal also involves the cancellation of 105.18 million B shares, which will lose their voting rights once settlement is completed.
Settlement is scheduled to take place on or around 21 November 2025 on the Johannesburg Stock Exchange, and the placement was offered privately to qualifying investors.
The Ackermans also agreed to a 90 day lock up period, with standard exclusions applying.
Rand Merchant Bank and Morgan Stanley acted as joint global coordinators, with Rand Merchant Bank also serving as sponsor.
Rothschild and Co and Morado Partners advised the selling shareholder, while DLA Piper and Bowmans together with Milbank provided legal counsel to the respective parties.
Retail sector changes
The share sale comes at a time when other major retailers in South Africa are expanding into new revenue areas, and Shoprite has been increasing its in store fast food concept known as ChicRite.
The supermarket group now has about 80 ChicRite outlets across the country, with roughly 50 to 60 added in the past 18 months as part of a push to give shoppers more ready meal options.
Each counter operates inside a Shoprite store and relies on existing infrastructure to serve customers who want quick meals while doing their grocery shopping.
The outlets typically offer around 25 menu items, with chicken and chips being the most purchased products.
Shoprite introduces ChicRite only in stores where it expects strong and steady demand for fried chicken and other hot meals.
Chicken remains the most consumed protein in South Africa because it is more affordable than beef and other meats.
Data from research firm Eighty20 shows that KFC has around 10 million monthly customers in the country, while Chicken Licken, Debonairs Pizza, and McDonald’s are also popular.
These figures highlight why chicken, burgers, and pizza account for nearly two-thirds of all spending in the fast-food market.
Shoprite says ChicRite builds on its long-running deli business, which already offers roasted chicken and other quick meal products in Shoprite and Checkers stores.
The retailer adds that ChicRite openings are concentrated in areas where demand for chicken-based meals is most consistent.
Sign up HERE to receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.
