Meikles boardroom battle erupts
….as Moxon calls for complete overhaul of directors
CLOUDINE MATOLA
Meikles Limited, a diversified conglomerate listed on the Zimbabwe Stock Exchange (ZSE), has set the stage for a dramatic shake-up of its leadership.
The company has convened an extraordinary general meeting (EGM) on December 18, 2024, to remove all four directors in the board – Rugare Chidembo, Stewart Cranswick, Simon Hammond and James Mushore- and appoint new members, citing urgent corporate governance concerns.
In a circular to shareholders, Chairman John Moxon announced the restructuring plans, with Meikles Consolidated Holdings, which owns 48.38% of the company’s shares, spearheading the initiative.
“Meikles Consolidated Holdings hereby calls for an Extraordinary General Meeting on December 18, 2024, with the intention of restructuring the Meikles Limited board of directors. The objective is to remove the current non-executive directors—Rugare Chidembo, James Mushore, Stewart Cranswick, and Simmon Hammond—and replace them with the proposed individuals,” Moxon stated.
The call for change comes amid growing turmoil in Meikles’ boardroom. Tensions flared following the removal of CEO Malcolm Mycroft in early October, a decision made without Moxon’s consent and outside the scheduled agenda.
Moxon disclosed that he was hospitalized at the time of the meeting and was neither informed nor consulted about Mycroft’s dismissal. “The removal of the then CEO was not part of the circulated agenda for the meeting. Neither the chair nor the affected party was notified, raising questions about the quorum and adherence to corporate governance protocols,” he said.
The chairman further alleged that misinformation was deliberately spread, with claims that his communication devices had been compromised.
Moxon emphasized the urgency of restructuring, citing the board’s failure to convene a legally mandated EGM despite repeated requisitions.
“Between October 22, 2024, and today, the board has been engaged in discussions about convening an overdue EGM, but nothing materialized. This failure denies shareholders their statutory rights to vote and exercise oversight over the company’s affairs,” he asserted.
The chairman vowed to protect minority shareholders’ interests, warning that systemic non-compliance with corporate governance standards would not be tolerated.
The proposed replacements for the board include seasoned professionals Fayaz King, Benjamin Ward, and Marcel Golding. However, the internal conflict has already taken a toll on the company.
On November 26, 2024, the ZSE suspended trading in Meikles Limited shares for up to 180 days, citing unresolved corporate governance issues.
“ZSE hereby notifies the investing public of the suspension of trading in Meikles Limited shares with effect from November 26, 2024, to allow the board and shareholders to address corporate governance concerns,” the exchange stated.
This unprecedented move underscores the high stakes of Meikles’ internal battles, which could have far-reaching implications for its future and shareholder confidence.
