Major shareholders Bidvest, PIC oust chairman of S.Africa's Adcock

miércoles 19 de febrero de 2014 06:34 GYT

* Bidvest, PIC press for Brian Joffe to be on the board

* Adcock shares rise more than 2 percent

JOHANNESBURG Feb 19 (Reuters) - Adcock Ingram's top two shareholders have ousted its chairman after a long-running battle for control of its board and are now expected to push through changes to turn around South Africa's second biggest drug company.

Bidvest and state-run pension fund Public Investment Corporation (PIC) say Adcock could fast-track its turnaround with leadership changes and want Bidvest chief executive Brian Joffe and two other executives they have nominated to be appointed as directors.

Joffe has an established track record of buying poorly performing companies and turning them around by improving cash flow, capital allocation and returns.

Khotso Mokhele's resignation late on Tuesday comes weeks after Bidvest became Adcock's biggest shareholder and torpedoed a foreign takeover of the company.

Adcock, 55.5 percent-owned by Bidvest and PIC, has been hit by slow sales, currency swings and over-reliance on the highly regulated South African market.

Bidvest built up its stake from about 4 percent to more than a third in about two months with a 4 billion rand ($370 million) cash offer direct to shareholders.

Shares in Adcock rose 2.2 percent to 57.9 rand by 1022 GMT, outpacing a 0.4 percent gain for the JSE All-share index .   Continuación...