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Telecommunications giant MTN on Monday announced the appointment of Rob Shuter as group president and CEO following a global search in the wake of the resolution of the “Nigerian dispute”.
Shuter would assume the new role by no later than July 1, 2017, as he wrapped up his current obligations as the CEO of Vodafone Group Europe.
“The MTN group advises that following the successful resolution of the Nigerian dispute, it has completed the review of its governance and management structures,” the JSE-listed firm said in an update to shareholders on Monday.
MTN Nigeria was slapped with a $5.2-billion penalty last October for failing to deactivate 5.2-million unregistered cellphone SIM cards by August 2015; the fine was negotiated down to N330-billion, or $1.67-billion, in tranches over a three-year period.
Nonexecutive chairperson Phuthuma Nhleko, who stepped in as executive chairperson in November to resolve the challenges that led to the resignation of then-group president and CEO Sifiso Dabengwa, would revert to his nonexecutive chairperson role when Shuter assumed his new position “as soon as was practicably possible”.
MTN Group CFO Brett Goschen, along with the newly appointed, but as yet unnamed, new VP for mergers and acquisitions (M&A) and strategy, would facilitate a “smooth transition” through “clearly defined additional responsibilities” under the guidance of Nhleko.
With a background in banking and substantial commercial experience, the new VP for M&A and strategy, who would assume the position on October 1, would focus on increasing the company’s focus on new revenue streams.
The new appointee, whose name would be announced before June 30, would assist in formulating a revised strategy for MTN, particularly in the area of convergence between mobile telephony and financial services.
Meanwhile, from July 1, Vodacom consumer business chief officer Godfrey Motsa would take over the role of overseeing countries in MTN’s South and East Africa business, excluding South Africa.
Several new nonexecutive directors would join the group’s board on August 1, including former Old Mutual COO and Emerging Markets Board chairperson Paul Hanratty, MTS executive chairperson Stan Miller and Kagiso Tiso Holdings chairperson Nkululeko Sowazi.
With effect from July 1, Mike Harper, Lerato Phalatse, Mike Bosman and Trudy Makhaya would serve on MTN South Africa’s (SA’s) board.
“The company resolved to refresh the board, deepening the commercial experience on both the group and MTN SA boards with a view to improving the risk and governance profile of the group,” MTN concluded.