Former MTN CEO, Sifiso Dabengwa
Sifiso Dabengwa, the CEO of African mobile network giant MTN has resigned.
According to a statement released by MTN, Dabengwa will step down with immediate effect, with the telecoms concern’s current chairman, Phuthuma Nhleko, stepping in as executive chairman for up to half a year while a successor for Dabengwa is identified.
Nhleko isn’t a new face in MTN’s driver’s seat having served as its CEO prior to Dabengwa’s appointment in 2011 for almost a decade.
The departure of Dabengwa, a Zimbabwean telecoms executive, comes as MTN battles with a $5,2 billion fine for its Nigerian concern. This penalty was brought on by Nigeria’s telecoms regulator following MTN’s failure to fully comply with SIM card registration requirements.
Since this fine was announced, MTN has taken a severe knock on its share price which has seen the comany lose 18% of its value. It’s credit rating has also been affected, and these changes influenced this latest development regarding the operator.
In Dabengwa’s words,
Due to the most unfortunate prevailing circumstances occurring at MTN Nigeria, I, in the interest of the Company and its shareholders, have tendered my resignation with immediate effect,
image credit – timeslive.co.za
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15 comments
Sifiso did a noble thing here, resigning under the circumstances. Someone else would have tried to justify and point fingers at other people instead!!
Some leaders have been known to stay in power even when they have clearly failed. Give that man a “Bells”!
Although Nigeria is still MTN’s largest base by user numbers, its profit were in decline. Companies need to respect local laws in the countries they operate in, but l feel the Nigerians went overboard with the fines. Charging them close to a year’s turnover is just cruel.
I wish Mr Dabengwa well. He is a real man who takes responsibility. It takes courage to resign.
There is nothing noble in Dabengwa ‘resigning’, coz in essence nothing can be further from the truth.In reality he was fired,only at the top they sugarcoat it to maintain his dignity
At least he accepted his fate and take the noble bullet. It gets to the firing stage when you are refusing to go making endless claims and pointing fingers away from your failures.
Here in Zim by now it would have involved ministers, courts, political parties individuals with their own agenda etc. Look at what is happening between PSMAS and Health Ministry!
Were you looking for a chance to use that phrase: “nothing can be further from the truth”?
At least he can be fired. Ko vamwe vasinga dzingiki even when they are complete failures?
I dont get it when leaders resign after such instances, fix the mess you woulf have created and then resign.
Some have been trying to fix messes and have ended up creating waaay more messes!
Stepping aside can be the best way to clear the mess!!
You need to understand the politics of the work place, chances are he was not given the chances to sort out the mess but instead forced to resign or else face dismissal. What would you choose my friend? kkkkkkk
That’s how Nigerians do business, they don’t want any foreign companies especially in mobile telecomms, ask Strive Masiyiwa.
Noble idea.bt 5,2 billion fine stands.
Acknowledging that a company has to move on with business, Dabengwa did a noble thing by leaving, it is a sign of ineffectiveness, and as such he has created an opportunity for change in the organization.
You can’t overtake at the same speed. Accepting failure is a virtue, hats off to Dabengwa.