Chief executive quits CFI as shareholder fight intensifies

HARARE, December 5 (The Source) – CFI Holdings acting executive Timothy Nyika has thrown in the towel as the fight for control of the agroindustrial group between major shareholders intensifies.

Nyika has been acting since the departure of Steven Kuipa in April last year. His resignation follows that of Grace Muradzikwa who stepped down last month and comes ahead of likely fireworks filled extraordinary general meeting scheduled for Wednesday.



Zimre Holdings and the National Social Security Authority (NSSA), through their Stalap Investments vehicle, are battling the Nicholas van Hoogstraten owned Messina Investments for the control of the group.

“The company wishes to advise that Mr Timothy Nyika has resigned from both his acting executive role and also from the board of directors to pursue personal interests. The resignation is with effect from the 1st of December 2017,” the company said in a statement on Tuesday.

Messina wants to reverse a 2015 sale of 834 hectares of land to Fidelity Life Holdings because it believes the land was sold at a large discount. At Wednesday’s EGM, Messina and its fellow shareholder ally, Willoughby’s Investments want to remove Stalap appointed directors Douglas Mamvura, Ephraim Chawoneka, Hamish Rudland and Shingirai Chibanguza.

Analysts say the fight for control indicates CFI’s promise because of its strategic business units across the agriculture value chain. It has three divisions in poultry, retail and light manufacturing and property, all potential gold mines once the economy is on the recovery path.

Under the poultry division it runs Agrifoods, Crest Breeders, Suncrest and Glenara Estates, while under the retail division it operates its flagship Farm and City. The group also operates Victoria Foods, a light manufacturing group and holds a 45 percent stake in Maitlands property group among other properties under its specialised division.

The group, which used to be one of the most valuable listed companies on the Zimbabwe Stock Exchange, has seen a massive dip in its fortunes.

Stalap investments and Messina Investments own 41 percent and 42 percent respectively in the group.