Adapt IT CEO Sbu Shabalala has issued a statement defending himself from backlash after media reports linked him to the severe assault of Ethekwini municipality manager, Sipho Nzuza.
Over the weekend, the Sunday Times reported that Shabalala had been involved in an attack on Nzuza, which left him critically injured.
According to the newspaper, Shabalala is accused of ordering unidentified men to assault his estranged wife, Neo Shabalala’s partner, Nzuza.
The report said Neo and Sbu Shabalala were battling over the divorce settlement, with his former wife claiming part of his assets, which she says are worth over R133 million.
Subsequent to these events, Shabalala temporarily stepped down as CEO of Adapt IT, a company he founded over 15 years ago.
In a statement yesterday, Adapt IT said Shabalala has been granted a leave of absence for three months by the board.
Tiffany Dunsdon, chief commercial officer, is now the interim CEO.
The development comes as the JSE-listed software group is in the middle of tense takeover negotiations that have pitted Canadian group Volaris against Huge Group.
Both Huge Group and Volaris recently launched separate attempts to take control of the software services company, and the bidding is getting aggressive and mucky.
Huge Group launched the first salvo, urging shareholders to reject the Volaris offer and consider its bid, prompting Adapt IT to hit back, cautioning investors not to be coerced into making a decision.
Adapt IT wanted shareholders to receive an independent review first before making a decision on the unsolicited bid.
However, days later, Volaris received weighty shareholder support for its Adapt IT takeover bid.
The Canadian software group obtained noteworthy support for the deal after receiving irrevocable commitment from shareholders holding 44.4% of Adapt IT shares.
Adapt IT and Volaris yesterday extended by a week the deadline for the fulfilment of the scheme of arrangement for the takeover of the JSE-listed software services group.
Initially, the fulfilment date was set for 7 May but has now been moved to 14 May.
The full statement from Shabalala:
I would like to clarify my leave in context to the allegations made.
I have decided to take extended leave.
The last five months have been some of the most difficult of my life. After more than 15 years of the relentless work of building a JSE-listed entity, I need a little respite. Time for rest and self-care while I deal with personal battles.
I’ve had family tragedies, at a time when the business is going through its most important business lifecycle.
In the midst of this, I am now being accused of violent and uncharacteristic behaviour, in what is clearly an unrelated attack. I have been caught in the crossfire.
This has taken a toll on my well-being. My instinct is to soldier on. However, those closest to me, who care for me, have advised that I take time out for self and family care. I listened. Hence my decision to take leave.
My trust in the competence and excellence of our management team made the decision somewhat easier.
The allegations against me are without merit. The best way to deal with them is through the judicial system. This is not only to clear my name of wrongdoing but to also bring those who are using my proximity to the situation to serve their own ends. This campaign is cold-hearted and must be condemned.
Taking time to regroup is an essential part of good leadership and there is never a perfect time.
I hope this clarifies my position as I will not be engaging these issues until I have resolved the dispute.
Please respect both my personal and family’s privacy as we take much needed time out.
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