Group Five interim CEO Thabo Kgogo has resigned and will leave the company on October 31, the construction and engineering firm said on Tuesday.
The company, which is currently in business rescue, said Kgogo had resigned “to pursue an alternative career opportunity”.
Group Five said the board and business rescue practitioners thanked Kgogo for his “invaluable contribution” since his appointment in July 2017 as a nonexecutive director and for “agreeing to assist the group” as interim CEO with effect from February 1 2019.
Kgogo’s appointment as interim CEO took place shortly before the company went into business rescue. Group Five has been in business rescue since March 11. Since then, the company’s business rescue practitioners Dave Lake and Peter van den Steen of Metis Strategic Advisors, have developed a business rescue plan.
The company’s creditors overwhelmingly voted in favour of the rescue plan on September 11. This paves the way for Lake and Van den Steen to wind down the group through the sale of assets including subsidiary Everite, which manufactures building materials.
The company said, in terms of the Companies Act, the business rescue practitioners had full management control of the company “in substitution for its board and pre-existing management”.
“Subsequent to the approval of the business rescue plan for the company on September 11, the [business rescue practitioners] are now implementing the approved plan. In the circumstances, the business rescue practitioners do not at this time foresee the appointment of a replacement CEO,” Group Five said.