Boxer CEO said the dual listing on the JSE and A2X signifies a significant step in the retailer’s journey.
Retailer Boxer has traded over 830,000 shares valued at R53 million since its secondary listing on A2X Markets.
The retailer started trading on A2X on Thursday, 28 November, the same day it was listed on the Main Board of the Johannesburg Stock Exchange (JSE).
Boxer’s dual listing
Marek Masojada, Boxer CEO said the dual listing on the JSE and A2X signifies a significant step in the retailer’s journey.
“A2X reinforces our strategy to optimise shareholder value. With A2X’s lower-cost structure and competitive trading environment, Boxer shareholders will gain from both increased liquidity and trading options.”
Boxer’s turnover
The retailer, majority-owned by Pick n Pay Group, has an annual turnover of R37.4 billion and a trading profit of R2.1 billion in financial year 2024.
This makes it the leading discount grocery retailer, commanding approximately 68% of the discount market and a 4.2% share in the broader formal grocery market.
“Boxer’s strong brand and community-focused approach align with our mission to provide companies and investors with a cost-effective, alternative trading venue,” said Kevin Brady, A2X CEO.
ALSO READ: Pick n Pay to convert 70 stores to Boxer, close 35 in revamp strategy
Boxer’s IPO
Patrycja Kula, JSE’s Primary Markets: Equity Origination manager, told The Citizen, on the day of the listing on the JSE that the retailer’s initial public offering (IPO) was multiple times oversubscribed, which means that the full capital raise it [Pick n Pay] wanted and the shares it had allocated were exponential.
She added that it shows growing confidence in South Africa following several headwinds that negatively affected the markets.
Retailers to benefit greatly
Pick n Pay has benefited from the listing, as it was able to solve its financial woes. Through the IPO, Boxer was able to raise R8.5 billion for Pick n Pay.
Professor Bonke Dumisa, an independent economic analyst told The Citizen that Boxer’s success is testimony that ordinary investors see the potential in the future of Boxer.
“Boxer will also benefit more from its listing, as it [the listing] will protect it from the woes of Pick n Pay.
NOW READ: How did Pick n Pay do it? From technically insolvent to growing sales in months
