South Africa’s Tiger Brands (TBSJ.J), which is the largest food-producing company in Africa, saw a nearly 12% increase in shares on Friday following the announcement that the CEO, Noel Doyle, would step down and be replaced by Tjaart Kruger from November 1st.
Many South African companies that sell fast-moving consumer goods have experienced difficulties due to inflation, high-interest rates, and increased costs of dealing with daily power cuts. These issues have led to a decrease in profits, margins, and annual targets.
Tiger Brands confirmed that Doyle’s departure was a mutual decision made by the Board after considering the current challenges facing the company. The CEO, who has been with the company for nearly two decades, will assist with the transition until March 31st.
Kruger, who previously served as the CEO of Premier Foods (PMRJ.J), has signed a 26-month contract with Tiger Brands.