Dis-Chem founders become South Africa’s newest billionaire family with $1.3 billion fortune

South Africa has welcomed another billionaire family after the Bloomberg Billionaires Index valued the Saltzman family’s fortune at $1.3 billion for the first time, underscoring the success of the pharmacy empire Ivan and Lynette Saltzman built nearly five decades ago.

The family joins the ranks of Africa’s richest after transforming Dis-Chem Pharmacies from a single Johannesburg chemist into one of the continent’s leading healthcare retailers. Their wealth is closely tied to the company they founded in 1978, whose continued growth has strengthened its position across South Africa’s retail and healthcare sectors.

According to the Bloomberg Billionaires Index, which tracks the fortunes of the world’s richest individuals, the Saltzman family is now worth $1.3 billion. The ranking marks the first time Bloomberg has assigned a value to the family’s wealth, placing them among Africa’s billionaire families following years of expansion at Dis-Chem.

Disruption fueled Dis-Chem’s early growth

The business began with a modest loan and an unconventional approach to pharmacy retailing. Ivan Saltzman, now 76, borrowed R10,000, worth about $12,000 at the time, from his mother to buy the chemist he was managing. Within the first year, he doubled the store’s turnover. An unexpected break came when the previous owner waited nearly a year before cashing the payment cheque, giving the young business valuable time to stabilize its finances.

Saltzman has often credited the company’s early success to its willingness to challenge established business practices. At a time when medicine prices were not generally regulated in South Africa, Dis-Chem introduced discounted prescription drugs, breaking away from traditional pharmacy pricing. “I never missed an opportunity to disrupt the status quo,” Saltzman once said. “We punched far above our weight.”

That philosophy shaped the company’s growth over the years. What started as a pharmacy evolved into a broader healthcare retailer as Dis-Chem expanded its stores to include vitamins, cosmetics, toiletries, and private-label products. The company also invested in its own supply chain, became South Africa’s first retail pharmacy chain to operate clinics in every store, and introduced a franchise model that allowed independent pharmacists to own and operate outlets while benefiting from the group’s purchasing power and lower corporate pricing.

Retail, healthcare expansion drives growth

The company’s latest financial results show that expansion has continued despite a difficult consumer environment. For the year ended Feb. 28, 2026, Dis-Chem reported revenue of R42.8 billion ($2.64 billion), an increase of 9.3 percent from R39.2 billion ($2.41 billion) a year earlier. The performance came even as South African households continued to face pressure from high living costs and a weak economic backdrop.

Growth was supported by higher sales across both the retail and wholesale businesses under Chief Executive Rui Morais. Profit before tax, excluding ecosystem investments, non-recurring items, and a property gain recorded in the previous year, increased 20.1 percent to R1.8 billion ($111 million), compared with R1.5 billion ($92.4 million) a year earlier. The company said improved operating leverage and stronger retail margins contributed to the increase.

Dis-Chem also continued to invest beyond its traditional pharmacy operations as it expanded what it describes as a broader healthcare ecosystem. During the financial year, the company invested R445 million ($27.4 million) in new initiatives designed to extend its healthcare offering. About R330 million ($20.3 million) was directed toward establishing and expanding X, Bigly Labs, and Dis-Chem Life.

Alongside those investments, the retailer continued upgrading its technology platform to improve customer experience and strengthen operations. Planned projects include the relaunch of its mobile application, expanded e-commerce capabilities, and enhanced data and artificial intelligence systems focused on healthcare delivery and internal business operations.

Capital expenditure on tangible and intangible assets reached R1.1 billion ($67.8 million) during the year. Of that total, R730 million ($45 million) was invested in expansion projects, new stores, and technology upgrades across the company’s retail and wholesale businesses.

Dis-Chem enters post-founder era

As Dis-Chem enters its next phase, the company is preparing for a leadership transition. Ivan Saltzman retired as chairman this month after building the business from a single Johannesburg pharmacy into a healthcare group valued at about $1.8 billion with operations in three countries. His departure shifts greater responsibility to Rui Morais, who led the company’s stock market listing before becoming chief executive nearly three years ago.

The leadership change also reflects a broader shift taking place across South Africa’s business community. More than 40 percent of the country’s high-net-worth individuals are older than 60 and are expected to transfer approximately $85 billion in wealth over the next decade, according to data based on Henley & Partners’ Africa Wealth Report.

The Saltzmans have already begun that process. Ivan and Lynette, who built Dis-Chem together as pharmacists and business partners, transferred company shares to two of their sons before his retirement, ensuring the family continues to own more than one-quarter of the retailer.

Their story mirrors a wider change taking place across global family-owned businesses as founders begin handing control to the next generation. Worldwide, an estimated $83 trillion in assets is expected to change hands over the next two decades as first-generation wealth creators address questions surrounding ownership, governance, and succession.

For the Saltzman family, Bloomberg’s decision to value their fortune at $1.3 billion marks more than a financial milestone. It recognizes nearly five decades spent building one of South Africa’s best-known healthcare retailers, a company whose growth has reshaped pharmacy retailing while securing the family’s place among Africa’s billionaire families.