End of an era for the royal family of retail in South Africa
Pick n Pay’s leadership has undergone a massive shift, with no Ackerman family member working as CEO or Chairman of the group.
Raymond Ackerman founded Pick n Pay, in its current form, in 1967 after he bought four stores with his wife, Wendy. Raymond served as Group CEO until 1999.
He would resign from the role of chairman in 2010, with his son, Gareth, taking over the role. Despite being listed on the JSE, the Ackerman family maintained majority control of the group.
However, the group faced extreme financial pressures in the 2024 financial year, declaring a R3.2 billion loss.
This came off the back of the poor rollout of the Ekuseni strategy, which cost the company billions.
The strategy’s core premise was restructuring the company into different silos, shifting the Pick n Pay brand into the premium market to compete with Woolworths and launching a new “QualiSave” brand to compete in the middle market.
The plan was to reinvigorate the Pick n Pay brand and give consumers more choice and allow the retailer to more effectively compete across all market segments.
However, the strategy fell flat. This forced the group to implement a series of rapid changes, starting with the return of former CEO Sean Summers, who quickly reversed the strategy.
The group then announced a two-step recapitalisation plan, which included a R4 billion rights offer and the IPO of Boxer, one of the group’s best performers, which raised over R8 billion for the group.
As per the rights offer in 2024, the Ackerman family reduced their percentage of voting rights from 52% to 49%, ending the family’s control of the group, even if they maintain a large chunk.
On top of ending their majority control, Gareth resigned as chairman at the group’s AGM on Tuesday, 5 August 2025, giving the family less oversight.
“I’m proud of how we’ve evolved over the past 15 years. The company has moved from a decentralised business with 500 stores into a unified, modern retailer with one team, strategy, and shared purpose,” said Ackerman.
“That shift has been fundamental in enabling the recovery now underway across our 2,500 stores.”
He added that the energy in the business is vibrant, with the group regaining momentum over the last two years following Summers’ return.
“As a family, we’ve always seen ourselves not just as shareholders, but as stewards of something bigger, a business with purpose, people at its heart, and a deep belief in doing good while doing well.
“That belief has not changed. We remain committed to supporting Pick n Pay as it continues to evolve.”
New chair
Taking over as chairman is James Formby, who previously worked as the CEO of RMB and spent 25 years at the FirstRand group.
Formby was previously the lead independent director and has been a non-executive director since leaving RMB in 2022. He is already the chairman of Boxer.
He will work alongside Summers, who recently had his contract extended until 2028, with the group needing longer to break even than previously expected.
A trading update from the group showed that group turnover for the 17 weeks ended 29 June 2025 increased 4.3%, with like-for-like sales up 3.8%.
“James is a thoughtful, capable leader whom I have known for many years and who has already added immense value to our Board,” said Ackerman.
“With Sean and James at the helm, I have every faith in the future of this business”
Despite resigning as chairman, Gareth will continue to serve on the board, alongside his siblings, Suzanne and Jonathon.
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