“The board owes a huge debt of gratitude to Leon for his vision and leadership during the growth of African Bank and wishes him every success for the future,” African Bank said in a statement.
[DATA ABL:African Bank] is a financial service provider in the unsecured credit and furniture and appliances retail industry in South Africa.
ABIL’s board has since appointed Nithia Nalliah, the group CFO, as acting CEO of ABIL and managing director of [video] African Bank with immediate effect. Nalliah has been with ABIL since 2006, and will continue with the position of group CFO until further appointments.
The group has been facing difficult conditions in its retail and banking businesses and has taken to restructuring the group and strengthening credit impairment provisioning, among others.
(READ MORE: ABIL's woes worsen as group expects FY headline loss of R6.4 bln)
The group recently also announced expectations of a basic and headline loss of at least 4.6 billion rand for the full year for its banking unit. For the full year, its retail unit also expects a basic loss of at least 2.9 billion rand and headline loss of at least 1.7 billion rand.
African bank’s share price plummeted to 62.1 per cent mid-morning following the announcement, and was at its lowest in over a decade.