Pick n Pay We are family! I got all my shareholders with me!
Royal Pain in AGM Theo Botha has taken issue once more with Pick n Pay’s family-owned structure, which, says the activist shareholder, is antiquated and in fact illegal in many parts of the civilised world. Mmmhmm, says Pick n Pay, whose founder Mr Ackerman believes that a family-owned structure is the best way to ensure the perpetuation of the founding values, so how do you explain then that 35% of Fortune 500 companies in the US are family-controlled and account for 50% of GDP? Ah, says Botha, but collapsing the pyramid, as it were, would (somehow) put R1billion in the pocket of other shareholders. Pick n Pay’s new chairman, Gareth Ackerman, whose R3million salary bill has caused some eyebrows to tend skyward, reiterated in his inaugural AGM address the family’s commitment to retaining control of the business.
Comment: And there is no arguing with the view that if you had invested R1 with Mr Ackerman in 1967, you could buy yourself a very nice television from one of his hypermarkets today.