State-owned logistics company Transnet has appointed Michelle Phillips as chief executive officer, the Minister for Public Enterprises announced on Wednesday.
Mr. Phillips has been acting CEO of the freight rail, port and pipeline company since November, following the resignation of Portia Darby. Mr Phillips previously led Transnet's pipeline subsidiary.
Read: Transnet boss Portia Darby resigns
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Public Enterprises Minister Pravin Gordhan also appointed Nosipho Mahhumulo as Transnet Group's chief financial officer.
Transnet reported a loss of R1.6 billion for the six months to 30 September due to lower rail, port and pipeline traffic. that is struggling to provide adequate services due to equipment shortages and maintenance delays due to years of lack of investment.
Read: Transnet reports R1.6 billion loss in six months
Mineral exporters are losing billions of rands in potential export revenue due to rail constraints on logistics companies.
The South African government, Transnet's sole shareholder, handed Transnet a $2.5 billion lifeline to support the country.own The company fulfills its immediate obligations.
Mr Phillips is expected to spearhead Transnet's turnaround plan to restore cargo volumes, clear port backlogs and return the company to profitability over an 18-month period.
Read: Transnet's personnel changes pay off