Its not over for axed Old Mutual CEO Peter Moyo.
Ousted Old Mutual CEO Peter Moyo on Friday launched an urgent application in the Joburg high court seeking to interdict the company from appointing a new CEO.
The 175-year-old firm last month advertised the position of CEO in three national Sunday newspapers, buoyed by a Joburg high court ruling that Old Mutual doesn’t have to give Moyo his job back, whom it showed the door in June 2019 over an alleged confliict of interest over his investment firm, NMT Capital, in which he owns a 20% stake.
However, Moyo immediately indicated his intention to appeal the decision.
In his court papers, Moyo says it is disingenuous of Old Mutual to advertise his job while there are matters still awaiting finalisations at the
courts.
“My reputational rights will be adversely affected should a new CEO be appointed while I am in court to be reinstated to the same position,” reads Moyo’s founding a¡davit.
“If the relief sought is not granted and Old Mutual goes ahead and hires a CEO, then the harm of permanent losing my employment will be irreversible.”
Moyo has pleaded with the court to hear the matter on March 10.
Moyo was appointed by the group in May 2017 for a period expiring on his 61st birthday which he says in his papers is still four years away.
Old Mutual’s shares have tanked more than 10% in the past three months as the tit-for-tat between Moyo and the group’s directors continues unabated.
Moyo is also suing Old Mutual for R250-million and asking the court to declare its directors delinquent. Old Mutual’s shareholders have been divided on the issue.
Allan Gray, which is the company’s second-biggest shareholder, is on record supporting the Trevor Manuel-led board.
Prudential Investment Managers, which owns 4% of Old Mutual, prefers an out-of-court settlement, so is All Weather Capital. The group’s biggest shareholder, the Public Investment Corporation, also favours an out-of-court settlement.
Interestingly, PIC this week further strengthened its position in Old Mutual, buying more shares in a multibillion-rand deal that saw the asset manager’s interest in the group now reach 17.43%.
Old Mutual failed to respond to requests for comment, telephonically or in writing.
By Kabelo Khumalo
Moyo not ready to back off
