Ecobank chief executive Thierry Tanoh has failed to raise any capital, bring stability or extract efficiencies, according to board member Daniel Matjila, who represents South Africa’s Public Investment Corporation (PIC), the bank’s largest shareholder.
The PIC supports reconstituting Ecobank’s board and would possibly support a change in chief executive, Matjila, the chief investment officer for PIC, told Reuters on Wednesday. Matjila sits on Ecobank’s 12-member board.
Ecobank’s shareholders are due to vote on March 3 on governance reforms that follow pressure on the bank over corporate governance. Top executives are divided over Tanoh and senior leaders have called for him to step down.
“Tanoh came in to stabilise, extract efficiencies, cut costs and all other things to extract value from the business. We believe he has failed to do so,” Matjila said. “He hasn’t raised even a single cent of capital ever since he came in.”
“For us, we need to change and reconstitute the board to put the bank on a growth path, including possibly changing the CEO,” Matjila said, who said that nonetheless the investment was doing well.
PIC holds 18.35 percent of Ecobank’s shares, making it the biggest shareholder ahead of the Asset Management Corporation of Nigeria, which holds 8.09 percent.