Last Monday, 22 September 2014, PPC issued a statement about my sudden resignation. The PPC regulatory statement, which I had agreed to, stated that “Ketso regrettably resigned due to differences of opinion with the Board, regarding Board procedures for the approval of certain decisions.”

Since that announcement, I have heard from a number of PPC’s fellow shareholders, including employees. I now believe it is in the interest of PPC’s stakeholders that I provide clarity about the reasons for my resignation.

The Board and I disagreed about their appropriate delegation of authority and the limits of my decision making on personnel matters. Specifically, they opposed my desire to exit a senior executive from the business whom I believed was putting the strategy of the company at risk. As CEO, I was entirely authorised to make this decision, once I had informed the Board, and the ensuing interference by the Board led to my loss of confidence in their ability to manage the business in a manner that is consistent with shareholder interests.

As I am no longer an executive of PPC, only the Board can provide additional detail surrounding these matters. However, as a significant individual shareholder of PPC, I will share the following:

·        The Board inappropriately involved itself in operational and personnel matters and the manner of its intervention raised a concern about whether I had appropriate support from the Board to continue as CEO
·        Creating a values driven organisation is key to PPC’s success and the Board’s actions impacted my ability to run the company and to execute properly on our strategy for the benefit of all stakeholders, including employees who are a significant shareholder
·        The Boards actions put PPC’s strategy execution, including potential shareholder value, at risk

PPC has reached a stage in its strategy execution where complete alignment at the top is a necessary condition of success. It faces the twin challenges of a very competitive landscape in the South African market and critical partner relationships to secure its African expansion strategy. While there is a very strong operational team in place, PPC still faces a number of strategic execution and internal alignment challenges that I believe I am well positioned to overcome as CEO.

When I reflect on what we have done at PPC in a relatively short period of time – fostered a progressive relationship with our workforce that is setting a good example for South African corporates, built an energised team that is realising its potential to double the size of the business, increased the confidence of our shareholders, and created highly prominent external partnerships and strategic alliances across the African continent – it is clear to me that the job is not yet done. I have thrown myself into this business and believe I have created a vision that can take PPC to the next level and build it into a truly African business.

I remain passionate about PPC, about the strategy we have put in place and about the excitement, loyalty and commitment we have created. I remain a material shareholder and would go back as CEO in a heartbeat if the shareholders agree with me that this is in the best interest of the business.

Issued by Brunswick