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Move backed by the PIC, which has appointed a new board at the company to bring stability.
The PIC says it has taken measures to help stabilise Daybreak Foods, including providing working capital to address immediate liquidity needs. Picture: iStock
The Public Investment Corporation (PIC) has reconstituted the board of directors at Daybreak Foods, which was placed into business rescue earlier on Tuesday (20 May).
In a statement issued on Tuesday afternoon, the PIC, a major shareholder in Daybreak, notes that business rescue is the best path to preserve the company’s value and potential and save the jobs of approximately 3 000 employees.
The PIC notes it has already undertaken several measures to contribute towards stabilising Daybreak Foods, including the injection of R74 million in working capital intended to address the company’s immediate liquidity needs.
The PIC bought Delmas-based Daybreak, a major player in the poultry industry, in 2015.
The company started facing financial difficulties in 2017, which have worsened over the years. By the end of 2024, the company faced severe liquidity issues and failed to pay suppliers and staff salaries, which continued into 2025.
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Board members
The board of directors was reconstituted before the company was placed into business rescue to stabilise governance and operations, the PIC notes.
Dr Charlotte Nkuna, a veterinary specialist, has been appointed interim chair, while Lehlohonolo Makenete, an agricultural economist, has been appointed interim deputy chair.
The other board appointees are Tshokolo Nchocho, former CEO of the Industrial Development Corporation (IDC); Brian Mavuka, former acting finance chief at the PIC; and Martinus de Jonge, who previously served as interim CEO of Daybreak Farms.
The PIC notes that the successful application to place Daybreak in business rescue “paves the way” to appoint a business rescue practitioner who will develop a turnaround strategy for the business.
“In this regard, the business rescue practitioner will work closely with the Daybreak board of directors.”
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This article was republished from Moneyweb. Read the original here.
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