The merger of Bokomo and Sasko to form Pioneer Foods would enable the listing of a sizable food group on the Johannesburg Stock Exchange (JSE).

Preparing to list on the JSE

The growth and performance of the Group over the years after the merger had ensured a spread of household brands across virtually every food and beverage product segment, and being listed on the stock exchange had many advantages for the Group, as part of the company’s expansion strategy.

Moreover, the stock exchange listing would add to the company's corporate standing and provide access to a wider shareholder base, which would facilitate the raising of equity capital to support investment and expansion plans.

Following the merger in 1997, some key milestones were achieved to enhance the company profile prior to listing:

  • Challenges of the merger were bedded down, and the merged entity was streamlined.
  • The Group diversified into a variety of other food and beverage categories.
  • There were increased dividend payouts.
  • An important black economic empowerment employee transaction was completed in 2006.
  • Debt restructure coincided with the listing, to optimally fund the Group’s growth and expansion strategy.

The Listing

On 22 April 2008, Pioneer Foods, one of the most significant players in Southern Africa’s food and beverage industries, listed on the Johannesburg Stock Exchange. It was a momentous occasion for the Group and its shareholders.

The struggling pioneers and farmers that formed Bokomo and Sasko back in the first half of the 20th Century could never have guessed how far along the road their co-operative organisations would go. Almost 90 years later, the stock exchange listing proved that the Pioneer Foods Group was well on the way towards its vision, to be a leading food and beverage company through globally trusted brands.