The transaction will see Clicks fully owning Sorbet, Sorbet Man and Candi & Co
Pharmacy and beauty group Clicks said on Thursday it would buy beauty salon chain Sorbet for R105 million.
Clicks is acquiring the rest of the stake that it did not already own after it purchased 25% of Sorbet in 2015. The transaction will result in Clicks taking full ownership of the beauty franchise, which has more than 190 outlets under its various brands, including Sorbet, Sorbet Man and Candi & Co.
Sorbet is being acquired from Old Mutual Private Equity, which got the company when it was part of Brian Joffe’s Long4Life group. Old Mutual Private Equity bought Long4Life in March for R4.2 billion.
Co-head of Old Mutual Private Equity Jacci Myburgh said the intention was always to sell Sorbet because it was “below the size of investment that we would typically hold”.
Sorbet was founded in 2005 by serial entrepreneur Ian Fuhr, who sold it in 2017 to
newly founded Long4Life in a deal worth R116 million.
Clicks Group chief executive Bertina Engelbrecht said Sorbet was a natural strategic fit and was closely aligned with Clicks’ health, beauty and wellness offering.
Sorbet products are sold in Sorbet salons and Clicks stores.
“Since acquiring our shareholding in Sorbet Brands we have worked closely with the management team over the past seven years and developed a shared vision for the business. Sorbet has a strong and entrepreneurial management team and we believe the business will complement the offering of our chain of over 850 Clicks stores nationwide,” Engelbrecht said.
The Sorbet Group will remain located in Johannesburg and the chief executive, Linda Sinclair, will report to Engelbrecht . All Sorbet employees will be transferred to the Clicks Group.
“Clicks has played an instrumental role in supporting the growth of Sorbet into becoming the leading professional beauty and grooming franchise brand in South Africa…our values are strongly aligned with Clicks and we look forward to delivering on future growth opportunities as part of the Clicks Group,” Sinclair said.
The transaction is subject to approval by competition authorities.