Lazarus Zim will replace Jeff Molobela as chairperson of Telkom with immediate effect for a one-year period as part of his three-year tenure as a non-executive chairperson of the telecommunications utility.
The appointment had been widely expected by industry pundits as Molebelo’s term had been extended twice from the original end date of November 2010.
Zim’s appointment has been made through the office of Communications Minister Roy Padayachie and was approved by Cabinet on Wednesday. However, because Telkom is listed on the JSE the announcement had to be made through its news service.
Government owns more than 50% of Telkom’s shares, mostly through its own shareholding of 38.55% and further stakes through the Public Investment Corporation.
The state’s “golden share” right that allows it to appoint the chairperson and group CEO expires on March 5, however, because it controls the majority stake, the government is expected to still continue to play a key role in appointing certain directors.
Zim is well known in corporate circles having served as CEO of MIH South Africa, managing director of of SuperSport Channel, is the chairperson of Afripalm Resources and Northam Platinum, and has served as chief executive of Anglo American South Africa.
Other changes to the Telkom board are that Navin Kapila has been appointed as a non-executive director for three years. Kapil is considered an expert in telecommunications regulations, particularly in India.
Two serving non-executive directors Reitumetse Huntley and Julia Hope have had their appointments extended for another three-years.
Victor Lawrence’s appointment as a non-executive director who represented the government, has been terminated from February 15. – I-Net Bridge