Pick n Pay chairperson Gareth Ackerman would step down once the supermarket group’s recapitalisation was complete and the turnaround was in place, and the board would announce a successor in due course, he said at the annual meeting yesterday.
He said also that long-standing board members would be replaced over the next 12 to 18 months, the gradual approach being adopted because of the “extent of the change required and the work needed to execute that change” in the turnaround of the group.
At the meeting the required majority vote from shareholders on its two remuneration-related resolutions was not met, and the board intended to engage with shareholders on the resolution.
“Part of looking to the future is the role of the Ackerman Family. We have recognised that this was the time to push for change and we have now done exactly that. That has meant looking at the control structure and the influence we have on the board, and we have made the appropriate changes to support the turnaround of Pick n Pay,” he said in the online shareholders meeting.
Ackerman initially agreed to be chairperson for five years, but stayed on for 15 years after replacing his father and founder of the group, Raymond Ackerman.
On the progress of the recapitalisation and turnaround plan currently under way, he said that Sean Summers, the veteran Pick n Pay CEO who was reappointed last year to head the changes, had put in place a new management team and new operational structures, as well as “a comprehensive turnaround plan and multi-year trajectory”.
On the recapitalisation, he said the R4 billion rights issue was concluded in September and Boxer was on track to be listed later this year.
He said South Africa was seeing signs of optimism as early benefits of a new Government of National Unity were being seen.
“Last year, we would not have thought this possible. We hope and trust that the GNU will prove to be the catalyst for the increased economic growth that our country deserves. This, as most will concur, will require sensible policies, rapid implementation, effective controls and close co-operation with the private sector, without surrendering delivery away from our government, who is ultimately responsible,” he said.
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