Following weeks of discord, South African cement producer PPC Ltd has announced it will reshuffle its board at the upcoming AGM in January 2015. The management of the company has been in the news for several weeks following the resignation of former CEO Ketso Gordhan over differences of opinion with the board regarding procedures for the approval of certain decisions. Though there has been some speculation over whether or not he would return to the company, Gordhan has reportedly told Reuters he thinks this ‘very unlikely’.
PPC’s board is now set to be restructured, with four directors stepping down and six joining, bringing the number of directors to 12. This pre-empts a vote to remove the board, due to take place next week, which was initiated by three minority shareholders and has now been withdrawn in favour of the reshuffle.
“Shareholders are hereby notified that following discussions initiated by Bheki Sibiya with a number of shareholders, the board of directors of PPC has decided to embark on a process that is much more likely to achieve the best outcome for the company and all of its shareholders,” PPC said in a statement. The company went on to describe the intention to ensure the board was made up of people with expertise and experience, on principles of continuity, transformation and diversity and renewal. The nomination process will be managed by the current nominations committee of the board and overseen by a senior advocate from the Johannesburg Bar.
“The reconstituted board will consist of 12 non-executive directors and shall not include any current or former permanent executive directors of PPC who have served as such within the 10-year period immediately preceding the date of the AGM,” PPC said. Bheki Sibiya will step down following a transitional phase, to be succeeded by Zibusiso Kganyago as non-executive director. The company plans to select a new CEO at the earliest opportunity, which could be prior to the January AGM.
Edited from various sources by Katherine Guenioui
Read the article online at: https://www.worldcement.com/africa-middle-east/03122014/ppc-to-reshuffle-board-945/
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