Vision consortium brings in former Illovo Sugar CEO as new leader
09 February 2025 - 17:24
byNoixolo Majavu
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Vision Investments, the consortium that is set to acquire all the assets of Tongaat Hulett, has appointed Gavin Dalgleish as its new CEO.
Vision said Dalgleish would begin his role in April, which is the closing date for the transfer of Tongaat’s assets to the group.
Vision is buying the embattled sugar producer’s R8.5bn debt from lenders and converting most of it into equity. The group has already signed the sale agreement for SA, Zimbabwe and Botswana suspensive to certain conditions.
“Gavin joins us from his most recent role as CEO of Illovo Sugar Africa. We look forward to Gavin leading the Vision Group through the exciting next chapter of this proud African business. Gavin will lead the stabilisation and turnaround of the sugar business as well as its strategic downstream diversification,” consortium director Rutenhuro Moyo said in a statement.
Top players in the sugar industry include Tongaat, RCL and Illovo, with Tongaat holding about 40% of the market share. Founded 130 years ago, Tongaat was once the dominant force in SA’s sugar sector and employs about 2,500 South Africans.
Tongaat Hulett entered business rescue in 2022 after a PwC investigation uncovered a major accounting fraud scandal. The probe revealed that top executives had inflated the company’s profits, resulting in writedowns and leaving the company unable to meet its debt obligations. As a result, creditors called in the debt, forcing Tongaat into business rescue.
The sugar giant is being delisted and could become an empty shell, eventually ceasing operations. With no assets remaining, it is likely to face liquidation.
Moyo acknowledged Rob Aitken, Tongaat’s interim CEO, for his role in steering the company through business rescue and working to resolve the situation as quickly as possible. Further announcements regarding the broader leadership team would be communicated in due course, he said.
“Vision acknowledges and thanks the Tongaat leadership teams across all jurisdictions who stepped up to support the process, as well as the 28,000 Tongaat people in SA, Mozambique, Zimbabwe and Botswana for their unwavering contributions during the difficult period of the past,” Moyo said.
In last week’s update, Tongaat’s business rescue practitioners said the company had a reasonable chance of being successfully rescued, in accordance with the Companies Act, while balancing the rights and interests of all affected parties.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Vision consortium brings in former Illovo Sugar CEO as new leader
Vision Investments, the consortium that is set to acquire all the assets of Tongaat Hulett, has appointed Gavin Dalgleish as its new CEO.
Vision said Dalgleish would begin his role in April, which is the closing date for the transfer of Tongaat’s assets to the group.
Vision is buying the embattled sugar producer’s R8.5bn debt from lenders and converting most of it into equity. The group has already signed the sale agreement for SA, Zimbabwe and Botswana suspensive to certain conditions.
“Gavin joins us from his most recent role as CEO of Illovo Sugar Africa. We look forward to Gavin leading the Vision Group through the exciting next chapter of this proud African business. Gavin will lead the stabilisation and turnaround of the sugar business as well as its strategic downstream diversification,” consortium director Rutenhuro Moyo said in a statement.
Top players in the sugar industry include Tongaat, RCL and Illovo, with Tongaat holding about 40% of the market share. Founded 130 years ago, Tongaat was once the dominant force in SA’s sugar sector and employs about 2,500 South Africans.
Tongaat Hulett entered business rescue in 2022 after a PwC investigation uncovered a major accounting fraud scandal. The probe revealed that top executives had inflated the company’s profits, resulting in writedowns and leaving the company unable to meet its debt obligations. As a result, creditors called in the debt, forcing Tongaat into business rescue.
The sugar giant is being delisted and could become an empty shell, eventually ceasing operations. With no assets remaining, it is likely to face liquidation.
Moyo acknowledged Rob Aitken, Tongaat’s interim CEO, for his role in steering the company through business rescue and working to resolve the situation as quickly as possible. Further announcements regarding the broader leadership team would be communicated in due course, he said.
“Vision acknowledges and thanks the Tongaat leadership teams across all jurisdictions who stepped up to support the process, as well as the 28,000 Tongaat people in SA, Mozambique, Zimbabwe and Botswana for their unwavering contributions during the difficult period of the past,” Moyo said.
In last week’s update, Tongaat’s business rescue practitioners said the company had a reasonable chance of being successfully rescued, in accordance with the Companies Act, while balancing the rights and interests of all affected parties.
majavun@businesslive.co.za
Tongaat Hulett Zimbabwe to lay off 1,000 workers amid currency crisis
Q&A: How consortium plans to convert Tongaat Hulett into Vision Sugar
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.