Clicks takes control of another retailer in South Africa in R500 million deal
Clicks has increased its stake in beauty retailer ARC, giving the retail giant a controlling interest in the company.
Clicks announced the increased shareholding in a voluntary announcement issued on the Stock Exchange News Service (SENS) on 28 September 2026.
The retailer increased its stake in ARC by 35.3 percentage points, making it the majority shareholder with 61% of the company’s shares.
The additional 35.3% interest was purchased from ARC’s founding shareholders for approximately R507 million.
Clicks confirmed that ARC’s existing shareholders will remain invested in the company and that its current executive team will remain with the company until 2028.
“This provides continuity of management and shareholder alignment as ARC continues to expand,” Clicks said.
ARC was founded in 2020 and has since expanded to 12 stores in several prominent South African shopping malls, including Menlyn Park Shopping Centre and Sandton City.
ARC’s Sandton City outlet is currently the largest beauty store in Africa, and the company plans to expand to 20-30 stores in the medium term.
Clicks CEO, Bertina Engelbrecht, said the controlling stake in ARC would increase the group’s exposure to the growing beauty market.
“The acquisition of a controlling stake in ARC provides the group with increased exposure to the growing premium beauty market, which is currently valued at more than R6 billion annually,” she said.
“ARC has established a differentiated position in the premium beauty market, and we see potential to grow the business and to leverage the strengths of both ARC and Clicks.”
The relationship between the two retailers started in 2021, when Clicks entered into an affinity partnership with ARC through its Clicks ClubCard.
This partnership allowed ClubCard holders to earn rewards when shopping at any ARC retailer, with Clicks also offering pickup points for the beauty retailer.
Clicks said that in the last year, spending in its stores by ARC customers increased by 16% to R836 million.
The majority stake in ARC comes as Clicks has increasingly looked to expand its presence in South Africa.
For the 2026 financial year, the group allocated R662 million in capital expenditure towards up to 50 new Clicks stores and pharmacies, and up to 90 refurbishments.
The increased stake in ARC remains subject to regulatory processes, and Clicks expects the deal to take effect shortly after it is approved by the Competition Commission.
“The effective date of the transaction is expected to be the first day of the month following the approval by the competition authorities,” the company said.
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