JOHANNESBURG - AYO Technology Solutions’ shares leapt 4 percent on Tuesday after it announced that it had restructured its board and added new members to strengthen the independence and governance structures of the board.
The information and communication technology (ICT) group listed on the JSE in December last year and became the biggest black ICT company. AYO’s share price closed 4 percent higher at R26 on the JSE yesterday.
The group said the appointment of new directors ensured a stronger representation of independent non-executive directors.
Therefore, the group has appointed Dr Wallace Mgoqi, Dennis George, Sello Rasethaba and Rosemary Mosia as independent non-executive directors to the board after its engagement with its shareholders.
“In line with the engagement discussions, Khalid Abdulla, Walter Madzonga and Telang Ntsasa and Mbuso Khoza have resigned as members of the board with immediate effect,” the group said.
Group chairperson Salim Young has also stepped down as the independent non-executive chairperson, but would remain as an independent non-executive director.
Dr Mgoqi would take over as chairperson. In another move, Nobulungisa Mbaliseli, who was seconded by African Equity Empowerment Investments Limited (AEEI), had returned to AEEI and is no longer the company secretary.
The group added that the announcement of the new company secretary would be made in due course. AYO currently services customers in southern and northern Africa, Europe and Mauritius, among others.
Its strategic alliance with British Telecommunications South Africa provides access to global technology trends as well as access to the global market.
Contract
AYO this year signed a multiyear information and communication technology services contract with Sasol.
AYO’s results reflected strong growth with revenue increasing by 49 percent to R349 million. Group operating profit increased by 61 percent to R45m, while headline earnings per share (Heps) increased by 107 percent to 17.36 cents a share.
The new directors bring in a wealth of experience to the board and Dr Mgoqi was a former attorney and advocate of the high court of South Africa.
“Dr Mgoqi currently sits as a co-judge in the largest land restitution claim, involving 1 000 farms,” the group said. George is the general secretary of the Federation of Unions of South Africa and played a key role in the successful discussion, conclusion and signing of the Framework Agreement for a Sustainable Mining Sector in 2013.
Rasethaba is a business leader, with a broad spectrum of international engagements spanning private business, the public sector and state-owned entities. He is currently the executive chairperson of Xpanse Investments.
Mosia has more than 15 years experience in credit risk, financial and business management, amassed from various positions.