The announcement of Abiel Mngomezulu's retirement as chairman of the board and an independent non-executive director at Merafe Resources triggered a sharp decline in the company's shares. This announcement coincided with the anticipation of the company's annual general meeting (AGM), slated for about May 15.
At 4.48pm the shares were down 12.18% to R1.37, after a bullish run for the past 90 days of rising 19.08% higher.
Additionally, shareholders received notification that Ditshebo Stephen Phiri, an independent non-executive director of the company, would assume the roles of chairman, chair of the Nomination Committee, and member of the Remuneration Committee and Social, Ethics, and Transformation Committee with effect from the conclusion of the 2024 AGM.
The company, which is the largest ferrochrome producer in the world, has a market value of R3.9 billion.
The board yesterday thanked Mngomezulu for his “exemplary leadership and significant contributions made to the board and the company during the 13 years he served as an independent non-executive director of the company, five years of which he served as chairman”.
BUSINESS REPORT