Old Mutual says after considering the terms of the judgment and taking legal advice it will immediately apply for leave to appeal against the High Court decision to grant former CEO Peter Moyo temporary reinstatement following his dismissal as CEO in June.
The filing of the appeal will suspend the operation of the court order. Mr Moyo has been informed that he is not required or permitted to resume his duties, pending the outcome of the appeal proceedings.
Old Mutual maintains that the urgent application by Mr Moyo was ill-conceived, contained a number of false allegations, and should have been dismissed. While the company respects the Court and its processes, it now plans to appeal to a higher Court to argue that it acted lawfully when it terminated Mr Moyo's employment. The company has maintained throughout that it followed sound governance principles when it took this step, and that it gave valid notice under Mr Moyo's employment contract.
The directors of the company are resolute that they have at all times acted in keeping with their fiduciary responsibilities to the company and its shareholders, policyholders, staff and other stakeholders. Old Mutual is clear that there has been a complete and irreparable breakdown in trust and confidence in Mr Moyo. The company is optimistic that it will be successful on appeal and that another Court will come to a different conclusion. Until then, the business continues as usual under the stewardship of the highly experienced Iain Williamson as interim CEO, supported by a competent and focused leadership team.
Old Mutual affirms its unwavering commitment to all its stakeholders, and confirms that the ongoing court proceedings concerning Mr Moyo have not affected business operations. The Old Mutual team continues to work tirelessly to deliver increased value for stakeholders and exceptional experiences for customers.
The company will continue to execute its strategy, underpinned by strong corporate governance. This includes making existing businesses more competitive, containing costs, efficiently deploying capital and focusing on countries where the company believes it can leverage its capabilities to capture growth opportunities.