The new appointments follow that of Dr Xolani Mkhwanazi as the new chairperson at the beginning of the month.
EOH said on Friday that it has appointed Dr Anushka Bogdanov, Andrew Mthembu and Michael Bosman as independent non-executive directors, with immediate effect.
Mkhwanazi hailed the new board members and said he was looking forward to their contribution to the group. “These appointments are another important milestone for the EOH Group as the skill and experience brought by our incoming directors will go a long way towards enhancing and complementing our leadership capability and governance oversight. Our board is now also compliant with the King Code of Corporate Governance,” Mkhwanazi said.
The directors have a proven track record in their industries, with Bogdanov’s recent corporate role at the Development Bank of Southern Africa (DBSA), before she established her own risk management consulting firm.
Mthembu previously had stints with companies like Vodacom, DBSA, Murray & Roberts as well as serving as an adviser to the Minister of the Department of Public Enterprises on ICT industry. He is currently managing his investment company and consults to various clients on ICT strategies.
Bosman started his career in corporate and project finance before moving into the creative world of advertising. He is also a former chief executive of the large communications group TBWASouth Africa.
Peter Takaendesa, a portfolio manager at Mergence Investment Managers, said EOH needed to refresh and strengthen its board with independent directors, given the challenging corporate governance concerns it has gone through.
“The executive team has been refreshed and there are ongoing investigations after Microsoft terminated its relationship with the company, so EOH needs to keep improving its corporate governance structures to regain its position in the market,” Takaendesa said.
EOH was notified in February by multinational technology giant Microsoft that it wanted to terminate its contract with its subsidiary EOH Mthombo, with the news sending the group’s share price into a tailspin, losing 30percent in one day.
In an effort to clean up the image of the group, chief executive Stephen van Coller conducted an internal investigation, supported by ENSafrica, into EOH Mthombo’s channel partner business unit.
ENSafrica was also tasked with investigating potential corruption involving government contracts with the group.
However, on Thursday last week, the company confirmed that it had received the report from ENSafrica and was currently studying its contents before making public pronouncements.