Jan. 20 (Bloomberg) -- Allied Technologies Ltd., a South African maker of television set-top boxes, fell the most in eight months as its chief operating officer quit after six months in the post.
The stock declined 5.2 percent, the most since May 23, to 52.50 rand by the 5 p.m. close in Johannesburg. Altech, as the company is known, has dropped 14 percent this year for a market value of 5.6 billion rand ($703 million).
The resignation of Chief Operating Officer Jeffrey Hedberg will be effective from the end of this month, Johannesburg-based Altech said in a statement. Altech Chief Executive Officer Craig Venter and divisional executives will manage Hedberg’s responsibilities until the position is filled, it said.
“The fact that he stayed only six months at Altech could be indicative that there could be management problems internally,” said Khulekani Dlamini, head of research at Cape Town-based Afena Capital, by mobile phone. Altech is controlled by Allied Electronics Corp., which was founded by Bill Venter, Craig’s father, in 1965.
Hedberg joined Altech in July, after acting for 10 months as Telkom Group South Africa Ltd.’s CEO. He had joined Africa’s largest fixed-line telephone company in 2009. Before that, Hedberg worked as Cell C (Pty) Ltd.’s chief executive for three years. Cell C is South Africa’s third-largest mobile-phone operator.
--Editors: Vernon Wessels, Stephen Kirkland
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