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East African Cables chief executive quits

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East African Cables (EAC) chief executive George Mwangi is set to leave at the end of September, ending a seven-year reign at the company.

Mr Mwangi, 42, communicated his resignation to the board of directors at a meeting held on Tuesday.  “Mr George Chege Mwangi… tabled his resignation and the board resolved that the said resignation be and is hereby approved and accepted,” EAC said in a statement sent to the Nairobi Securities Exchange (NSE).

The cables manufacturer did not say why Mr Mwangi was leaving the company. EAC’s net profit declined 14.3% to Ksh341.1 million in the year ended December as the cost of sales rose faster than revenue, which increased 13.2 per cent to Ksh5 billion.

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The outgoing CEO has worked at EAC for a total of 16 years, having held other management roles before rising to lead the Nairobi-based firm. He was appointed CEO after the exit of Mr Mugo Kibati in 2008. The board said the company more than tripled the capacity of its operations during Mr Mwangi’s tenure.

Mr Mwangi, a certified public accountant and a holder of an MBA from Strathmore Business School, leaves the company at a time when it is in the middle of a major expansion plan. It is building a new factory in Nairobi’s Industrial Area that will produce medium voltage wires to feed rising demand by regional power companies which currently rely on imports from India.

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editor [at] businesstoday.co.ke

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