Business

Pick n Pay Ends Ackerman Era as Leadership Shift Ushers in Bold New Chapter

Published

4 months ago

May 22, 2025

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Pick n Pay is officially turning the page on its founding legacy. Gareth Ackerman, the current chairman and son of Pick n Pay founder Raymond Ackerman, will step down in August 2025, marking the end of 57 years of family-led oversight at the retail giant.

This shift follows a turbulent financial chapter for the company, including a massive R3.2 billion loss in 2024 and a R4 billion rights offer meant to stabilise operations. As part of that deal, the Ackerman family reduced their voting rights from 52% to 49%, effectively relinquishing majority control for the first time since the company’s founding in 1967.

Leadership Handed Over to Banking Veteran

James Formby, a well-known figure in South Africa’s financial circles and the current Lead Independent Director, will assume the role of board chairman after the Annual General Meeting on August 5. Formby previously served as CEO of Rand Merchant Bank and has decades of experience at FirstRand, bringing with him a strong track record of strategic and financial leadership.

CEO Sean Summers Stays On for Stability

In a move that signals continuity amid transformation, Pick n Pay has confirmed that current CEO Sean Summers will remain at the helm until May 2028. Summers, who led the company from 1999 to 2007, returned in 2023 to guide it through a recovery after the failure of the costly Ekuseni strategy.

Under Summers’ recent leadership, the group has made aggressive moves to regain financial footing, including the rights offer and the successful IPO of its Boxer division, which raised R8 billion. The company has also begun phasing out underperforming stores and repositioning its QualiSave outlets back into the Pick n Pay and Boxer brands.

Boardroom Reshuffle Reflects Governance Evolution

As the company modernizes, its boardroom is evolving too. From June 1, Pooven Viranna will join as an independent non-executive director and serve on the Audit, Risk, and Compliance Committee. Meanwhile, David Friedland will step down at the upcoming AGM, after serving on key financial oversight committees.

Additionally, Suzanne Ackerman has chosen to step aside as Chair of the Social, Ethics, and Transformation Committee, though she will remain a committee member. Her successor, Haroon Bhorat, an independent non-executive director, will take over on May 26.

A Turning Point for the Retailer

This series of changes underscores Pick n Pay’s shift from a family-led institution to a more corporate governance-focused model, as it battles to regain profitability and relevance in a highly competitive retail environment. While the Ackermans will no doubt remain a significant influence in spirit, the baton is being passed to a leadership team tasked with writing the next chapter—one that’s leaner, more agile, and ready to face the modern challenges of South African retail.