(4 minutes read)
· The turnaround of Denel, South Africa’s most troubled state-owned enterprises, is now in a limbo with the resignation of its CEO, Danie du Toit.
· He has been at the helm of the company for almost two years and reportedly has enjoyed the confidence of the top leadership..
· The immediate reason for Du Toit’s untimely resignation is still not known.
· But many feel that it could be because of the unimaginable demands which negatively impacted his health.
The turnaround of Denel, South Africa’s most troubled state-owned enterprises, is now in a limbo with the resignation of its CEO, Danie du Toit. He has been at the helm of the company for almost two years and reported have enjoyed the confidence of the top leadership..
Du Toit took over the CEO of the company in January 2018. He was given the responsibility of overseeing the turnaround strategy of a company plagued by liquidity challenges and several other
difficulties. The company had to undergo harrowing experiences to pay salaries to its employees, having been challenged by a number of governance issues. This had happened during the administration of former president, Jacob Zuma. There were questionable money transactions including with the Gupta family, which is being investigated.
The resignation of the CEO had thrown a spanner into the reform drive of President Cyril Ramaphosa. He made his determination known to restructure the public utilities to stem the drain of resources caused by them. The beleaguered company, Denel, received a R1.8 billion lifeline last year to aid its urnaround.
The immediate reason for Du Toit’s untimely resignation is still not known. But many feel that it could be because of the unimaginable demands which negatively impacted his health.
