Illovo MD quits, set for 'exciting opportunity in Africa'

Clark, who served on the Illovo board since 1997, and as MD since 2009, said he wanted to pursue an "exciting opportunity" in Africa.

"In my tenure, we have spent a lot of money. I think we are seeing progress now. The results really speak for them selves," he said.

"In our latest released annual results, you see we made 6.5-million tonnes. So, sugar as an industry is a good place to be - even if globally there is some pressure for sugar prices to drop, that is only temporary." Clark could not divulge what his new career opportunity entailed. "I cannot say right now. But I only have a few working years left and I am very excited to be able to do work in this role in Africa, where I have 30 years' experience. I want to use my skills before I retire."

Clark would resign from the board with effect from 31 August. He would leave Illovo at the end of September to ensure an orderly handover to his successor. That successor would be Gavin Dalgleish, who currently serves as group operations director and has significant experience within the group.

Illovo chairman Don MacLeod said he would like to thank Clark for his contribution to the group over a long period of time.

At the annual general meeting, MacLeod highlighted the strong results of the Illovo group.

Group turnover increased 21% to R11.1bn in the year to March and operating profit rose 41% to R1.9bn. "A strong balance sheet, healthy cash generation and good cane sugar assets across Africa position the group to continue with its growth plans to increase cane, sugar and downstream or co-generation production on the continent," MacLeod said.

"The group continues to evaluate opportunities for further footprint expansion but careful assessment of the risk will be crucial to any new opportunity being progressed."

Ethanol and molasses beneficiation, power co-generation and increased furfural production opportunities were being investigated across the group.

The recently completed new custom-designed R300m warehouse and distribution facility in Pietermaritzburg was fully operational and would provide meaningful storage and logistics benefits to the South African business.

"We want to remain the sugar provider of choice in SA and Africa. This is why I rolled out so much investment," Clark said.

"Yes, farming is facing challenges like lower demand in SA but Illovo can manage the pressures. Demand will soon pick up again. I trust the youth I have brought to the group is up to the challenge."

Source: Business Day via I-Net Bridge