Absa ‘had to choose between CEO and unhappy executives’
Senior executives signalled a desire to leave bank while Daniel Mminele was at the helm, says chair Wendy Lucas-Bull
Disagreements between outgoing Absa CEO Daniel Mminele and some senior executives over the implementation of its strategy became so serious that the board feared an increasing risk of a “loss of talent”, group chair Wendy Lucas-Bull said.
Mminele, who was appointed in January 2020, reached an agreement with Absa that will see him step down as a director and group CEO with effect from April 30, the lender confirmed on Tuesday. The separation, the confirmation of which saw Absa’s shares drop the most in seven weeks on an intraday basis, was caused by “divergent professional views and approaches” related to its strategy and “culture transformation journey”, the bank said.
“What we saw was an increased risk of delivery in terms of the business units and increased risk of loss of talent and we had to make a call that was in the best interests of the business,” Lucas-Bull said...