The Altech Group’s board has welcomed the decision by the Group CEO, Craig Venter, to forego his bonus for the 2012/13 financial year.
“The board appreciates Mr Venter’s decision as it clearly demonstrates that he continues to place the interests of all stakeholders above short-term considerations,” says Moss Leoka, board chairperson of JSE-listed Altech.
Altech recently announced a realignment of its interests to stave off losses from its East Africa operations. The East Africa operations were housed within a separate legal entity that had autonomy in terms of how the business was managed, however Venter dismisses the suggestion that accountability should lie elsewhere and says emphatically that “the buck stops with me”.
The realignment comes at a time when new strategic partnerships are also being forged to put the company on a growth path.
“While these decisions have resulted in some short-term financial pain for shareholders, the board is pleased to see that the CEO has demonstrated faith in the future of the business, aligning his interests with the long-term interests of stakeholders by taking a short-term financial set-back,” says Leoka.
Venter also received a pay freeze in the past 12 months of the previous financial year.
However, Leoka says Altech recognises the importance of maintaining scarce intellectual capital to remain competitive and as such, the company will take cognisance of this when structuring compensation for Venter’s team, who have worked tirelessly to keep Altech’s reputation as a world class ICT group.
“On behalf of the Altech board, I would like to reiterate the board’s confidence in Mr Venter.
We are certain that we will see benefits from the strategic realignment of the business to maximise shareholder value, which was spearheaded by Mr Venter,” says Leoka.
Statement issued by Altech