“Unusual” exit negotiations with Cell C seem to have delayed Telkom's newly-appointed turnaround artist, Jeffery Hedberg, from taking up his position at Multi-Links, in Nigeria.
Hedberg says his current situation is complicated, but declines to comment on reports that Cell C majority shareholder, Saudi Oger, was holding him to a restraint of trade agreement.
“While my situation is complicated, it is all part of normal negotiations. I am looking forward to going and turning around the Nigerian business,” he says.
Telkom has also provided little information about the situation. The company's chief of HR, Charlotte Mokoena, says: “Hedberg has been hired for a position in Nigeria and the date of commencement is currently being discussed with him.”
Telkom has a lot riding on a successful operation in Nigeria, since the company has pitted Multi-Links as one of its financial fillers for the loss of its Vodacom revenue. The company appointed Hedberg to revitalise the Nigerian operation, following his successful stint at the third mobile operator.
He inherited the almost impossible task of turning a profit at Cell C, despite the vast amount of debt with which it is saddled. Hedberg's resignation from Cell C in March shocked the industry, since many expected him to at least see out his contract term at the company.
Should Hedberg get to head up the Nigerian operations, he will have his work cut out for him over the coming two years. Telkom has ambitious targets for Multi-Links, including an EBITDA-positive report by 2010/11, and wants the company to be cash flow positive by 2011/12.
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