Ackerman family loses $22-million in a space of two weeks
One of South Africa’s wealthiest families, the Ackerman family, has unfortunately suffered a huge blow on their fortune, when they experienced a substantial decline of nearly $22 million in a space of just two weeks. The setback is taking place due to the sustained decrease in the market value of their stakes in the prominent
Ackerman-family-loses-22-million-in-a-space-of-two-weeks
One of South Africa’s wealthiest families, the Ackerman family, has unfortunately suffered a huge blow on their fortune, when they experienced a substantial decline of nearly $22 million in a space of just two weeks.
The setback is taking place due to the sustained decrease in the market value of their stakes in the prominent retailer, Pick ‘n Pay. Even though they have gone through this loss, the Ackerman family still remains in their position of among the country’s richest families and top investors on the local bourse.
The decline in the market value of their joint stake adds to the significant losses they previously endured on the Johannesburg Stock Exchange. Pick ‘n Pay was founded by Raymond Ackerman back in 1967, and it remains a major player in South Africa’s retail landscape, ranking as the second-largest retailer behind Shoprite Holdings.
The company has been a staple in the region’s consumer market as it has more than 2,000 stores across eight African countries.
The Ackerman family is well known for their extensive assets in real estate, private investments, and shares in publicly listed companies, holding a great 25.53-percent stake in Pick ‘n Pay, which amounts to 124,677,238 issued shares.
Recently, the company under the leadership of Gareth Ackerman who is the son of Raymond Ackerman’s, saw a decline in its share price on the Johannesburg Stock Exchange. The company’s shares slumped to R37.54 ($2.101), representing a 7.7-percent decrease from a price of R40.67 ($2.276) on July 14.
Due to that, the retailer’s market capitalization fell below $1.1 billion to R18.5 billion ($1.04 billion), which leads to it losing its standing as one of the most valuable companies in South Africa.
This decline that Pick ‘n Pay sustained means that its shares led to a decrease of R390.2 million ($21.86 million) in the market value of the Ackerman family’s stake in the retailer over the past two weeks. The family’s stake decreased from R5.07 billion ($284 million) on the 14th of July to R4.68 billion ($262 million) at the time of this report.
Despite the recent challenges, the Ackerman family’s legacy endures, underlining their continued significance in South Africa’s economic landscape. The market’s attention now turns to how they will navigate these challenging times and re-establish their stronghold on the Johannesburg Stock Exchange and beyond.
