Furniture retailing group, Ellerine Holdings (EHL), has brought in a new duo on top as it struggles to turn around its fortunes.
EHL parent company African Bank Limited (ABIL) announced today the appointment of a new CEO, Mano Moodley, and a new nonexecutive chairperson Alan Schlesinger.
EHL has been struggling to make profit over the past few years due to a significant slowdown in the health of the consumer sector. EHL seems to have been hit hard by the credit exuberance of the past few years in a strategy that was backed by its parent company, the micro lending specialist ABIL.
EHL owns a string of well-known furniture retailing chain stores like Ellerines, Bears, Furniture City, Dial-a-Bed, Geen & Richards and Wetherlys. The company was acquired by ABIL in 2007 at the height of South Africa’s consumer spending boom. Its fortunes have turned bad and ABIL has indicated an intention to dispose of EHL.
ABIL CEO Leon Kirkinis said the new Ellerine appointments “highlight our commitment to EHL.”
I’m delighted to welcome individuals of this calibre to ABIL. Given their respective skill sets and industry experience, we believe they will play an integral part to improving the outlook for EHL. Both Mano and Alan have faced significant challenges in their careers and the positive outcomes they have achieved adds to our belief that the future for the group continues to look brighter. We are excited about the new chapter we have entered”.
The new appointments are effective from the 1st of March 2014.
ABIL said the new CEO Mano Moodley, 54, brings a wealth of retail business knowledge gained from over 30 years’ experience in various business leadership, business turnaround, transformation and retail chain management roles. He most recently served as the Chief Executive for Group Sourcing and Planning at Edcon Holdings Limited (‘Edcon’). Mano played an integral role as General Manager in the turnaround and transformation of the CNA chain of stores at Edcon. His previous roles include senior executive positions at South African Breweries Limited, Woolworths Holdings Limited and Imperial Logistics Transport & Warehousing. As Managing Director of The Cold Chain (Pty) Ltd, Mano successfully led a re-engineering initiative resulting in a significant improvement in annual profits.
The new chairperson Alan Schlesinger is currently executive director of companies in the Intafin Group which he founded in 1998, after 20 years of senior corporate experience. “He is a non-executive director of several companies including the Shanduka Group, where he also serves as chairman of
the remuneration committee and member of several other board committees. Alan was the CEO of Relyant Retail Limited (‘Relyant’) from 2003 – 2005, a major JSE-listed furniture retail group. Prior to him joining Relyant, the group made substantial losses and required a significant recapitalisation. Alan’s initial brief was to improve morale and operating performance and to create value for shareholders. Alan’s success in this regard resulted in EHL merging with Relyant. EHL was subsequently acquired by ABIL in 2008.”