Ackerman family to pocket more than $2.9 million in dividends from South Africa’s Pick n Pay

Omokolade Ajayi -

The South African Ackerman family is set to pocket R44.63 million ($2.91 million) in interim dividends from their stake in Pick n Pay, South Africa’s second-largest supermarket chain.

The dividend distribution that the Ackermans will receive is the result of the resilient financial results that the retail behemoth posted in the first half of its 2022 financial year.

This result made the board approve an interim dividend distribution of R0.358 ($0.0248) per share payable to shareholders on Dec. 6.

The dividend payment represents an increase of 91 percent when compared to last year’s interim dividend distribution, while the Ackermans’ 25.53-percent stake in Pick n Pay qualifies them to earn a total of R44.63 million ($2.91 million) from the distribution on Dec. 6.

As of the time of writing, the Ackermans’ total shareholding, representing a 25.53-percent stake or 124,677,238 issued shares in the leading retailer, is currently worth R7.25 billion ($473.37 million).

Pick n Pay is South Africa’s second-largest retailer. The Cape Town-based retail behemoth operates more than 2,000 stores in eight countries on the African continent under the governance of the Ackerman family.

Members of the family include Raymond Ackerman, who founded the retailer in 1967, and Gareth Ackerman, the chairman of the group.

In the first half of its 2022 financial year, the retailer reported a 4.1-percent growth in revenue despite disruptions caused by civil unrest in South Africa and restrictions placed on liquor sales in the country.

Operational efficiencies coupled with the growth in sales made the retailer’s profit surge by 87 percent from R158.7 million ($10.92 million) in the first half of 2020 to R296.8 million ($$20.4 million) in the corresponding period of 2021.

In a comment to shareholders, Pieter Boone, the CEO of the Cape Town-based retailer, said the resilience demonstrated by the group is a testament to its unprecedented teamwork and continued focus on delivering against strategic priorities.