Integrated food retailer ZAMBEEF has announced the appointment of a new Board Chairperson and Chief Executive Officer at the company’s 2019 Annual General Meeting (AGM) held in Lusaka, Zambia in December 2019.
“The Board is also delighted to announce that at an Annual General Meeting held on the 30th of December 2019, the Shareholders ratified the appointment of Mr. Michael Mundashi as incoming Chairman, Mr. Walter Roodt as incoming Chief Executive Officer”, read a statement from the Company’s sponsoring Broker, Pangaea Securities in Lusaka published on 2nd January 2020.
This follows the retirements of Chairman Dr. Jacob Mwanza and CEO Francis Grogan who have been long-serving members of the company’s board. “Zambeef the fully integrated retailer with operations in Zambia, Nigeria and Ghana hereby announces the retirement of its Chairman Dr. Jacob Mwanza and Mr Francis Grogan, the Chief Executive Officer effective 1st January 2020. Dr Mwanza and Mr Grogan have been with the Company since 2002 and 1994 respectively and the Board has greatly appreciated the experience and support they have contributed to the development of the Group”.
Walter Roodt was declared the heir apparent of the food processing empire in a SENS announcement that was published on 5th February 2019 following the exit of Board Member Yusuf Koya had been with the company since May 2005 when he joined as Group General Manager.
Walter is a holder of a Bachelors and Master of Science in Animal Science and Nutrition from the University of Pretoria and was recently working as Deputy Managing Director during the handover period. His strength in animal science and nutrition shows a strong indication that the direction of the company will most certainly consolidate on its livestock and feedstock lines of business.
Walter takes the helm of Zambeef with a Lusaka Securities and Exchange listing share price of 90 ngwee and earnings per share (EPS) of K3.49 which is indicative of the value of holding or buying the Zambeef security.
Streamlining operations has been the Zambeef way since the arrival of CDC and the company’s subsequent disposal of assets such as Zampalm and Sinazongwe Farm which have only served as a distraction to a management team that has chosen to remain focused in an industry that shows potential for growth. Their recent results despite a harsh macro-environment indicate the positives that are coming with an aligned strategy.
According to the company’s strategy presentation published on the 12 of December 2019, the company has adopted a de-risking of the business strategy that has ensured that revenue growth remains consistent through its retail network expansion. Furthermore, they have continued with capital investment in the best performing areas of their business which has led to cash generation through improved margins, cost control, working capital management, and prudent capital expenditure.
Francis Grogan now joins his old friend Dr. Carl Erwin on the golf course as they reflect on a beautiful adventure. Dr Carl exited the board room in March 2018. According to the company’s website, “Dr Irwin, along with Francis Grogan, founded the company in 1994, growing the company from a small butchery business into a multi-national conglomerate that is one of the largest and most successful companies listed on the Lusaka Stock Exchange, with a secondary listing on the Alternative Investment Market (AIM) of the London Stock Exchange”. One can imagine that Francis takes a message of growing Cropping Operating profit from US3.0 million to US 8.2 million from 2018 to 2019 (growing it by 173% in dollar terms) to his old Co-CEO.