PIC boosts stake in South African billionaire Christo Wiese-backed Pepkor to $870 million with rahim66

---

Key Points

---

• PIC’s $31 million purchase lifts its Pepkor stake to 15.46%, reinforcing confidence in the Christo Wiese-backed retail giant.
• The move follows Ibex’s $1.6 billion selloff, marking a full exit from Pepkor and closing a scandal-stained chapter for Steinhoff.
• Pepkor’s H1 2025 net profit rose 23.4% to $172.66 million, supported by fintech growth, retail expansion, and cost discipline.

---

Africa’s largest asset manager, the Public Investment Corporation (PIC), has deepened its stake in Pepkor Holdings Ltd.—the South African billionaire Christo Wiese-backed retail giant—with over $30 million share purchase, lifting its total investment above $870 million. The acquisition boosts PIC’s stake from 14.9 percent to nearly 15.5 percent, reinforcing its role as a leading institutional backer of the retail giant.

Dissclosed on July 24, the latest purchase raises PIC’s holding by 0.55 percentage points to 15.46 percent and comes on the heels of a major exit by Ibex Investment Holdings—formerly Steinhoff International—which cut its beneficial interest in Pepkor from 28.48 percent to just 0.19 percent in a R28-billion ($1.6 billion) accelerated bookbuild.

Beyond opportunism

PIC’s latest share purchase of 0.55 percent worth R548.35 million ($31.11 million) isn’t just opportunistic—it extends a consistent accumulation strategy which has progressively increased its holdings to R15.41 billion ($874.34 million). 

Earlier this year, on January 10, PIC disclosed raising its stake to 15.151 percent. That came months after a June 24 move that lifted its interest to 10.295 percent, underscoring a long-standing confidence in Pepkor’s retail resilience and balance-sheet strength. 

Pepkor—owner of discount chains Pep and Ackermans—operates nearly 6,000 stores across Africa, with a footprint extending into Australia and Eastern Europe. The company’s roots with Steinhoff date to 2014, when Christo Wiese sold Pepkor to the now-disgraced conglomerate in return for a 20 percent stake, making him its largest shareholder.

A vote of confidence amid transition

PIC’s increasing exposure comes as Ibex (formerly Steinhoff) retreats under regulatory pressure. In recent months, the South African Reserve Bank prohibited Ainsley Holdings, a Steinhoff subsidiary, from trading 13.7 percent of Pepkor shares amid compliance scrutiny.

For Christo Wiese, whose fortune took a hit in the Steinhoff collapse, PIC’s continued investment signals institutional backing for Pepkor’s standalone value. The endorsement marks a pivotal moment in Pepkor’s post-Steinhoff era, reinforcing confidence in its operational resilience and strategic direction. 

In the first half ended March 2025, Pepkor reported a 23.4 percent increase in net profit to R3.05 billion ($172.66 million) from R2.47 billion ($139.91 million) a year earlier. Revenue climbed 12.8 percent to R48.81 billion, up from R43.26 billion, underpinned by consistent retail momentum, disciplined cost controls, and expansion in its fintech segment.

PIC: A powerhouse in SA markets

Founded in 1911 and corporatized in 2005, the PIC manages over R3 trillion ($173.27 billion) in assets on behalf of public servants. As the largest investor on the Johannesburg Stock Exchange (JSE), it controls more than 10% of the exchange’s total market cap, with significant stakes in names like Investec, Tiger Brands, and Clicks Group.

from Daily News on African Billionaires and UHNWIs https://ift.tt/cw3YVki

fromahim7867