MTN shares fall as Nhleko steps down - TechCentral

MTN shares fall as Nhleko steps down

Phuthuma Nhleko

MTN’s share price fell nearly 3% at the close of trading on the JSE on Thursday as the group’s CEO of the past nine years, Phuthuma Nhleko, completed his final day of duties at the emerging markets cellphone operator.

MTN announced after markets closed on Thursday that Nhleko had resigned from all of the group’s boards. He had stepped down from the directorships of MTN Group, MTN Dubai, MTN SA, MTN Nigeria, Irancell and MTN Syria. The resignations took effect on his last day as group president and CEO at MTN.

Nhleko, who is being replaced as group CEO by Sifiso Dabengwa, joined MTN in 2001 as chairman and was elevated to group president and CEO a year later. A dealmaker, Nhleko is widely credited with leading MTN’s expansion to become an emerging market cellphone giant with more than 140m subscribers in 21 countries in the Middle East and Africa.

MTN’s shares closed down 2,8% on Thursday. Rival Vodacom fell 0,7% and Telkom climbed 1,6%.

Nhleko will return to the board of MTN Group in October when he will become the deputy chairman. He will also join the board of MTN International as chairman.  — Staff reporter, TechCentral

4 Comments

  1. I very much doubt Phuthuma’s exit had anything to do with the move in the share price yesterday, the market has known about his departure for months. Poor headline.

  2. Phuthuma is still going to be Deputy Chairman of MTN board and Chairman of MTN iNTERNATIONAL. He is not lost to MTN infact he is going to get enough time to close the deals he worked on whilst MTN Ceo seeing he is taking over International and will appoint CEO there.

  3. All I can say is Thanks Phuthuma for all you have done as a talented South African executive, making MTN a global brand. May we produce many more like you. I think whatever the reason for the share price dropping, the market will revert back to looking at the value and prospects of the business going forward. Phuthuma you are Ayoba

  4. You are correct justin, Nhleko’s departure must have been priced in !! Anyway, Phuthuma Nhleko iz the BEST business executive I know. He iz in the LEAGUE OF EXTRA-ORDINARY GENTLEMEN like Steve Jobs, Carlos Ghosn and others of that calibre !! Go well Nhleko, I looked you up on (twitter), I wanted to follow you but I couldn’t find you !!

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