MTN has extended CEO Ralph Mupita's term for another five years, meaning he will be at the helm of Africa's largest mobile operator until 2030.
This will be seen as a victory for Mupita’s as his current term was under threat following allegations of impropriety with another executive at the company and criticism that he had not delivered as CEO.
The MTN board said it had found no evidence of improper conduct by Mupita after an independent investigation into the matter.
The extension after the Sunday Times reported that executives at the group were unhappy about Mupita’s leadership style, and what they perceived as a lack of accountability, and favouritism.
At the heart of the issue is his alleged close relationship with a top female group executive, with claims that he hands out favours and has tried to illegally usurp some executive responsibilities and hand them over to her.
This situation had raised speculation about Mupita's ability to see through his term, which is set to end in September, but the veteran business executive appears to have weathered the storm unscathed.
His new contract is set to run until August 31, 2030, and was approved by the group’s board at a meeting on Friday.
Group chair Mcebisi Jonas said: “The extension of Ralph’s tenure will provide important continuity during a period of significant global and regional uncertainty. It will allow MTN to effectively navigate the complex geopolitical dynamics, market volatility and macroeconomic challenges affecting the business.”
“Additionally, it will ensure that the company remains focused on its strategic priorities and continues to deliver on its commitments to shareholders and broader stakeholders.”
Mupita is highly rated as an executive and business leader, having been named CEO of the year by the Africa CEO Forum. But the allegations and ensuing investigation do point at a contested, even tense, internal environment that the former Old Mutual boss will have to navigate in the coming years.
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