SOUTH AFRICA - Brian Molefe has resigned as chief executive officer of South Africa's Public Investment Corp., the continent's biggest pension fund manager, the company said.
Molefe, 43, will not be "renewing his contract which expires on April 12," Nhlanhla Nene, chairman of the Pretoria- based PIC, said today in an e-mailed statement. He joined the company in June 2003 from National Treasury, where he was deputy director general.
The PIC manages almost 90 percent of the South African government's pension funds. In its fiscal year to March 2009, assets shrank for the first year in six, falling 6% to 740bn rand (US$100bn) after the global financial crisis slashed the value of its investments. Since then, the 163-member FTSE/JSE Africa All Share Index has risen 38%.
The PIC's board has not yet chosen a successor to Molefe, PIC spokesman Evelyn John Holtzhausen said by phone from Cape Town. Holtzhausen said he didn't know what Molefe will do.
During his seven years with the PIC, Molefe helped to introduce a standardized voting system for shareholders at annual general meetings, make voting records of the PIC public and turned the institution into a registered South African company abiding by the same rules as other fund managers.
He also pushed for the appointment of black directors at companies like Barloworld Ltd. and Sasol Ltd., the world's largest producer of motor fuel made from coal, as part of South Africa's drive to make up for discrimination during apartheid.
Funds under management have more than doubled, from 290bn rand in 2003, during Molefe's tenure, making the organization the "biggest on the continent," according to spokesman Martin Slabbert. Molefe was paid 3.9m rand in the year through March.
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