Royal Bank Of Canada Increases Stake In South African Retailer Clicks
- The Royal Bank of Canada acquires an additional stake in Clicks Group, increasing its total beneficial interest to 5.001.
- Clicks Group's gross profit rose 10.5 to R9.31 billion 493.3 million in 2023, driven by over 900 stores and expanding digital sales.
- Despite RBC's acquisition, Clicks shares fell 0.59 to R373.15 21.12, reflecting market volatility and contrasting moves with JP Morgan.
The Royal Bank of Canada RBC, the largest bank in Canada by market capitalization, has announced the acquisition of an additional stake in Clicks Group, a leading health, beauty, and wellness retailer led by South African executive Bertina Engelbrecht.
This strategic move, executed through its subsidiary RBC Global Asset Management Inc. , reflects the Canadian multinational's confidence in Clicks' financial robustness and its potential for growth, enhancing RBCs total beneficial interest in Clicks to 5.001 percent.
Clicks expands with over 900 storesUnder the leadership of Bertina Engelbrecht , CEO and executive director, Clicks has established itself as a leader in the healthcare market, boasting an extensive network of over 900 stores and 715 pharmacies, alongside a growing digital footprint.
Engelbrecht's tenure has been marked by significant financial achievements, with Clicks reporting a 10.5 percent increase in gross profit to R9.31 billion 493.3 million for the year ending in 2023, up from R8.43 billion 446.62 million in 2022.
The retailer also saw total income rise by 7.6 percent to R12.16 billion 643.93 million, compared to R11.3 billion 598.34 million the previous year. Total assets increased by 6.6 percent, reaching R19.03 billion 1.01 billion from R17.86 billion 945.94 million in 2022.