By Lehlohonolo Lehana.
Public Enterprises Minister Pravin Gordhan has announced the appointment of state-owned defence company Denel’s new Group Chief Executive Officer Tsepo Monaheng.
Monaheng is currently serving as the CEO of the state-owned forestry company SAFCOL SOC Ltd since 2017.
Denel has over the last few years been struggling to stay afloat and is one of the entities that has received billions in bailouts.
Monaheng is a qualified electronic engineer, and his corporate experience includes a stint as CEO of Denel Dynamics, a division of Denel.
Gordhan says the appointment of Monaheng underscores the government’s commitment to put Denel on a path to expand its manufacturing capacity.
“Denel is one of our strategic SOEs. We wish to see it reclaim its position as a provider of critical defence capabilities to our country. The Denel Board needs to focus on building an executive team that consists of professional, skilled, and capable people who will drive Denel to become operationally efficient and financially sustainable.
“The appointment of Monaheng underscores our commitment as government to put Denel on a firm strategic path as we reposition the company to expand its manufacturing capacity and build on the progress we have seen since its recapitalisation earlier this year.”
Monaheng’s appointment will be effective as soon as he has concluded his commitments at SAFCOL.
Safcol is one of the few public companies to report a profit in the past financial year, and the only one to declare a dividend and not receive a government bailout.