Peter Oswald. Picture: SUPPLIED
Peter Oswald. Picture: SUPPLIED

International packaging and paper business Mondi said on Friday that its group CEO Peter Oswald will be stepping down at the end of March.

CFO Andrew King will take on the role of interim CEO until a successor is appointed, the group said in a statement.

“Peter has made an immense contribution to the growth and development of Mondi since joining in 1992, most notably during his tenure as CEO of the former Europe and international division and subsequently as CEO,” Mondi chair David Williams said in a statement.

“His drive to grow the business and his focus on ensuring Mondi’s long-term sustainable future have been invaluable to Mondi,” said Williams.

Oswald was appointed CEO in May 2017, and Mondi’s share price has fallen about 9% since he took up the position.

Under Oswald, Mondi had simplified its corporate structure from a dual-listed entity into a single holding company structure under Mondi plc.

Oswald had said previously this would “simplify cash and dividend flows, increase transparency, remove the complexity associated with the previous structure and enhance strategic flexibility”.

Oswald also focused heavily on expanding the group’s packaging business, as new digital technologies continue to reduce demand for paper-based documentation.

In morning trade on Friday, Mondi’s share price was down 2.22% to R310.29, putting it on track for its worst performance in almost three months.

Updated: January 10 2020 
These piece has been updated to include additional information on the share price movement, and on Oswald’s priorities as CEO.