Boardroom drama at Huge Group as top directors quit

Leading directors at Huge Group, including its chairman, Duarte da Silva, have resigned amid an apparent boardroom fracas.

In a statement to investors after markets closed in Johannesburg on Friday, Huge Group said Da Silva and fellow directors Craig Lyons and Brian Armstrong – all of them respected figures in the corporate world in South Africa – had tendered their resignations.

Asked for comment on the developments, Da Silva told TechCentral in a text message: “Our reasons were clearly set out in our letter of resignation. If you want more detail, you can ask the company directly. We no longer felt we could serve the company.”

Da Silva, who is well known in business circles in South Africa and who founded and led financial services firm Macquarie First South, said he would not provide further comment about his decision to quit the Huge Group board.

The other two directors who have quit were also high-profile businessmen. Brian Armstrong is a former group chief operating officer of Telkom and is currently chair of digital business at Wits Business School. Lyons, meanwhile, is an investment banker who sits on the boards of several companies and investment funds.

Asked to comment on why he quit, Armstrong said via a text message: “I and my fellow directors made the reasons for our departure very clear to the company and I think it’s best you engage with them for more detail.”

New directors

TechCentral was unable to make contact with Lyons, while Huge Group CEO James Herbst asked if he could provide comment on the developments on Saturday.

“The board wishes to extend its gratitude to Dr Da Silva, Dr Lyons and Prof Armstrong for their valuable contribution to the company during their tenures,” Huge Group said in its statement.

The company said it has appointed former Vodacom and Nedbank executive Veran Kathan as independent non-executive chairman, replacing Da Silva in the role. Praesidium Capital Management founder Mike Beamish also joins the board. Praesidium is Huge Group’s largest single shareholder.

Read: Huge Group to acquire what was Virgin Mobile in South Africa

Former Virgin Mobile South Africa CEO Zak van de Merwe, meanwhile, has been named chief commercial officer and becomes an executive director on the board.  – © 2022 NewsCentral Media