Telkom South Africa CEO resigns
05 November 2012 |
Telkom South Africa CEO, Nombulelo Moholi, is stepping down before her contract expires.
The company said on Monday that she had given the board the requisite six months' notice and it would begin searching for a replacement once it has filled current vacancies on its board.
Telkom’s share price has dropped nearly 40% so far this year after the company failed to expand into Nigeria and launched a mobile phone unit, which some analysts have described as misguided, according to Reuters.
“The company would like to emphasise that Moholi’s intended departure does not impact on its operational capabilities, and on its ability to provide customers with the best possible service,” Telkom SA said in a statement.
At the end of October, outgoing Telkom chairman Lazarus Zim appealed to the South African government, which owns 40% in the company, to allow a stake sale to improve its credit rating and borrowing capacity.
His calls came after a bid by South Korea’s KT Corporation for a 20% stake was blocked.
There has also recently been speculation in the South African press that Telkom would merge its mobile unit 8ta with its larger rival Cell C.