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Pick 'n Pay’s Boxer subsidiary prepares for historic JSE listing

Discount grocery chain Boxer to launch IPO on Johannesburg Stock Exchange, aiming to raise substantial capital for expansion.

Table of Contents


  • Pick 'n Pay’s Boxer supermarket chain will list on the JSE on November 28, aiming to raise R8-8.5 billion ($442 million-$470 million) with plans for a secondary A2X listing.
  • Proceeds from Boxer’s IPO will help Pick 'n Pay eliminate debt and reinvest in its core supermarket operations as part of a recapitalization strategy.
  • Boxer, South Africa’s leading discount grocer, holds a 68% market share in its sector and plans to double its store count over the next six to seven years.

Boxer, a leading South African discount grocery chain and subsidiary of Pick 'n Pay, partly owned by the billionaire Ackerman family, is set to debut on the Johannesburg Stock Exchange (JSE) Main Board on Nov. 28. In preparation for the listing, Pick 'n Pay has opened the offering period for qualified investors, which runs from Nov. 11 to 22. Boxer also plans a secondary listing on the A2X exchange to expand its market reach and accessibility.

According to Billionaires.Africa, Pick 'n Pay aims to raise between R8 billion ($442 million) and R8.5 billion ($470 million) through the initial public offering (IPO) by offering up to 202.4 million shares, representing approximately 40 percent of Boxer’s share capital, at a projected price range of R42 ($2.3) to R54 ($2.9) per share. This valuation places Boxer between R21.1 billion ($1.2 billion) and R24.7 billion ($1.3 billion).

Following the IPO announcement, Pick 'n Pay reported strong investor interest across the entire pricing range within hours. The final offer price and share count will be confirmed on Nov. 25, three days before Boxer’s anticipated debut on the JSE. Post-IPO, Pick 'n Pay intends to retain a controlling stake of about 60 percent to 65 percent, maintaining significant influence over Boxer’s operations and growth.

Boosting Pick 'n Pay’s core business with strategic financial moves

This IPO is the culmination of Pick 'n Pay’s two-part recapitalization plan to strengthen the company’s financial health by reducing debt and channeling resources back into its core supermarket chain. Earlier this year, Pick 'n Pay raised R4 billion ($2.2 million) in a rights issue, and the additional funds from the Boxer IPO are expected to fully eliminate the group’s debt, significantly lowering its interest expenses. “The initial capital raised from the listing will mean Pick 'n Pay will be debt-free, with a strong balance sheet and a significantly reduced interest bill,” noted Pick 'n Pay CEO Sean Summers.

Boxer, established 47 years ago and acquired by Pick 'n Pay in 2002, now dominates South Africa’s discount grocery sector with a 68-percent market share. CEO Marek Masojada emphasized Boxer’s unique role in serving lower-to-middle-income communities, where it has expanded rapidly, adding one new store per week for the past three years. Looking ahead, Boxer plans to double its store footprint over the next six to seven years, supported by the capital raised through this IPO.

Pick 'n Pay shares, which had dropped by as much as 4.9 percent earlier, pared losses to close 1.59-percent lower at R25.36 ($1.4). With a year-to-date gain of 28 percent, Pick 'n Pay remains the top performer on the FTSE/JSE Personal Care, Drug, and Grocery Stores Index.

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