Clicks Group has increased its shareholding in premium beauty retailer ARC Store (“ARC”) to 61%, following the acquisition of a further 35.3% interest for R507 million from the founding shareholders.
The deal strengthens Clicks Group’s exposure to South Africa’s growing premium beauty market, which is valued at more than R6 billion annually. It also extends a relationship that began in 2021, when Clicks Group first acquired a stake in ARC. That shareholding was increased to 25.7% in 2025.
Existing ARC shareholders will remain invested in the business, while current executive management has committed to remaining with the company until at least 2028. Clicks said this provides continuity of management and shareholder alignment as ARC continues to expand.
Founded in 2020, ARC currently has 12 stores in major shopping malls across the country, alongside a strong online presence. Its Sandton City outlet is the largest beauty store in Africa. ARC plans to grow its store footprint to between 20 and 30 stores over the medium term.
ARC is positioned as a specialist premium beauty retailer, with a curated portfolio of international prestige brands across fragrance, skincare, makeup, haircare and bath and body.
Jamie Lane, chief executive officer of ARC, said: “ARC’s shareholders and partners recognise that the unique ARC culture — entrepreneurial, customer-focused, innovative and brand-led — is fundamental to achieving its ambitious goals. We have crafted a partnership where that culture will remain at the heart of the business as we enter this next phase of growth.”
Bertina Engelbrecht, chief executive officer of Clicks Group, commented: “The acquisition of a controlling stake in ARC provides the group with increased exposure to the growing premium beauty market, which is currently valued at more than R6 billion annually.”
“ARC has established a differentiated position in the premium beauty market and we see potential to grow the business and to leverage the strengths of both ARC and Clicks.
“Our increased shareholding gives Clicks greater ability to participate in ARC’s future growth while retaining the founders and management who built the business.”
ARC has been an affinity partner of Clicks ClubCard since 2021. In the past year, spend in Clicks by ARC customers increased by 16% to R836 million. Clicks stores also provide collection points for ARC’s click-and-collect offering, further integrating the two businesses and enhancing convenience for customers.
The proposed transaction is subject to approval by the competition authorities. The effective date of the transaction is expected to be the first day of the month following approval by the competition authorities.
Clicks Group said the transaction is uncategorised in terms of the JSE Listings Requirements, and the announcement is made on a voluntary basis.
