Pfungwa Serima will vacate the CEO’s office at Metrofile, the documents specialist group says, with business person Thabo Seopa set to take his place.
The group told investors on Thursday that Serima, who has been at the helm since February 2016, would step down at the end of September.
Valued at R845m on the JSE, the group operates from 70 facilities and provides records and information management services in SA, Kenya, Botswana, Mozambique and the Middle East, with SA accounting for more than half of its revenue.
During Serima’s tenure, the group has worked to grow its technology unit to reduce reliance on legacy physical operations, growing digital subscriptions, while also looking to maintain its dominant position in paper document solutions.
“Pfungwa has advised the board of his wish to chart a new path and explore new opportunities after three decades in corporate leadership roles,” Metrofile said. “He has made an invaluable contribution in pivoting the group and driving its digital strategy.”
Revenue from digital services has increased from less than 1% at the time he joined to 26% in the year to end-June.
The group highlighted that the business crossed the R1bn revenue mark under Serima’s watch. He would continue to be available on a full-time basis until the end of 2024, it said “to facilitate a smooth transition”.
In his place, from October 1, will be Seopa, who is on Metrofile’s board as a non-executive director.
Seopa served as interim CEO of AfriGIS, a geospatial information data science company, from March 2022 to August 2024. Previously he served as the CEO and MD of Trudon, publishers of the Yellow Pages and telephone directories.
“During his tenure Trudon was transformed to a digital media company offering website production and hosting, search engine optimisation and social media advertising. It also offered optimal digital presence both on its own websites and mobile apps and on partners’ platforms, including big tech platforms,” Metrofile said.
Before that he was an investment banker at HSBC and UBS.
The group is hoping Seopa’s experience will help to further progress its own digital strategy.
Earlier in the year, the group reported a 2% rise in interim revenue to end-December of R577m, after growth in secure storage which was offset by lower demand in products, services and digital.
Earnings before interest, tax, depreciation and amortisation (ebitda) fell 4% to R160m and operating profit 5% to R111m.
As part of the digital push, in 2021 Metrofile spent R48.9m to acquire a 70% stake in IronTree. The business provides data management services including cloud backup, disaster recovery and specialised hosting in a private cloud. IronTree also offers cybercrime and ransomware protection.
The group said that group CFO Shivan Mansingh would assume the role of MD of Metrofile Records Management SA with effect from October 1.
Mansingh would continue as finance chief until “a suitable replacement is found, following which he will continue to serve as an executive director of the group. This change is in line with the company’s succession plan”, Metrofile said.
A lightly traded stock, the company’s share price fell 2.5% to R1.95 on Thursday. It is down 35% since the beginning of the year.
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