Pick n Pay's Ackerman-Berman talks about troubled waters

GEORGE NEWS - Pick n Pay founder Raymond Ackerman's daughter, Suzanne Ackerman-Berman, captivated her audience at a business breakfast in George when she gave a peek at the family's experience of the troubled waters the company has been going through.

Ackerman-Berman, a non-executive director of the company, was the guest speaker at the annual Selzer Developing Consultants business breakfast on Thursday 15 August at the Dutch Reformed Mother Church hall.

She said since former CEO Sean Summers's return to lead the implementation of a turnaround strategy, they have renewed hope for the company's future.

When the family saw Summers for the first time in 17 years at their father's funeral in September last year, the thought of getting him back in the company took root.

"My mother and brother looked at this and said, 'My gosh, that's the answer; we wonder if he'll come back.' And he was ready."

She said Summers has reached out to about 20 people in the company who had retired over the past five years, taken a package, or left.

"We call them 'Dad's army'. They are well-known traders in our world . . . they have earned their spurs and cut their teeth on the shop floor. That's what we needed. The buyers, the merchants, the traders, have come back to Pick n Pay, for no other reason than to make a difference and to follow Dad's legacy."

Committed family

The Ackerman family remains committed to the future of the company. "Even if it means breaking some of my dad's principles, we'll do it in order to save the company, to save the jobs and to save the brand. That's what we did."

In July, a rights offer was issued, raising the required R4bn for the turnaround. Of this amount, the Ackerman family committed over R1bn.

Following this, Pick n Pay's ownership structure changed in the second week of August, when the family gave up control of the company by reducing their percentage of voting rights from 52% to 49%.

Ackerman-Berman said that this is something her father would never have wanted to do. Being fired by Checkers after founding and building the company up to 76 stores, was an experience that made him vouch that he never again wanted to lose control.

"Sadly, just as he dies, that is what threatens. We started looking philosophically at what control means. Is it a number or is it a passion? . . . But passion outweighs the numbers . . . Never did we think we would be in this situation . . . grappling to try and save the company."

When they went "begging" banks for support, they got turned away by a number of them, but Absa, RNB and Standard Bank were willing to help.

"The amazing thing is, we didn't need them, because the power of the brand was so strong that the shareholders out there supported the legacy and the values that this company stands for. 98% of shareholders gave their support for the rights offer . . . Never in the history of the stock exchange has there been a rights offer with such a successful subscription rate."

Philanthropy

Ackerman-Berman also shared heart-warming incidents involving her parents and how their philanthropy has changed people's lives.

When the Covid pandemic struck, she initiated a campaign to help feed children in need, while her father lay in a coma for weeks after contracting the virus. Her efforts snowballed and Pick n Pay received generous support from overseas companies. This led to the founding of the Feed the Nation Foundation of which Ackerman-Berman is a trustee.

To date, the foundation has raised more than R157m and has handed out more than 130 million meals, and it is still constantly feeding people in need.

Oté's Rikus Coetzee (left) and Jaco Myburgh (right) spoke about how they assist farmers and artisans in their businesses. With them, from the left, are Dr Adele Potgieter from the NMU, event organiser Louwrens Selzer of Selzer Developing Consultants, guest speaker Suzanne Ackerman-Berman and Business Café chairperson Dr Dennis Farrell.

Suzanne Ackerman-Berman flanked by (from left) Maritsa van Schalkwyk (P n P Eastern Cape marketing manager), Jacoleen van Zyl (P n P franchise business manager), Alicia Snyman (Heyns & Partners Attorneys) and Lauren Marthinus (A Chimes Van Wyk Attorneys).