Monday, 20 July 2020 15:58

Photo Credit:Reuters.

State-owned arms manufacturer Denel has announced that its CEO Danie du Toit has resigned.

Danie du Toit, the chief executive of South Africa’s struggling state-owned defence firm Denel, will step down from August 15, the company said in a statement on Monday.

The state-owned arms manufacturer has not revealed the motive for Du Toit’s resignation.

Denel said on Monday its board has taken far-reaching steps to stabilise the business and prepare the ground for long-term sustainability.

"The turnaround plan is focusing on protecting promising business lines, disposing of non-core assets, and seeking strategic partners to increase access to international markets, contribute skills and funding to a profitable Denel."

Denel has struggled to pay employee salaries amid a liquidity crisis aggravated by the COVID-19 pandemic.

Denel SOC Ltd is a state-owned, commercially-driven company and strategic partner for innovative defence, security and related technology solutions. It groups together several defence and aerospace divisions and associated companies