JSE-listed construction firm, Group Five, on Tuesday said it had appointed Eric Vemer (49) as the new Group CEO at the Johannesburg-based firm.
Vemer replaces current CEO, Mike Upton, who is approaching the group’s executive retirement age. Vemer will start with duties on December 1 this year.
Group Five said Vemer’s appointment came after an extensive selection process from internal and external candidates.
“The board … is confident that Eric will successfully lead Group Five into the future off the solid base created over the last few years,” Group Five said, adding that Vemer was an internal candidate.
Vemer is a BSc and MBA graduate from the University of Cape Town and recently finished an executive development programme at Harvard University in the United States of America (USA).
He joined Group Five 10 years ago and has diverse experience in civil engineering, contracting and consulting sectors. “This appointment allows for an orderly handover of responsibility for the future of the group over the coming two months to 1st December 2014. During this time, and for a period thereafter, (Mike) Upton will support the transition and assume specific projects for the group,” the group said on Tuesday.
This comes shortly after Group Five, recently said Ghana’s Cenpower Generation Company had awarded it a R4 billion ($374 million) contract for the design and construction of a 350 megawatt gas and oil-fired power plant in Kpone municipality in Ghana.
Group Five said the contract duration is three years from award to commercial operation and the project is subject to certain conditions. The contract must now continue to commercial and financial close.
“Only once both commercial and financial close have been reached will the group receive a Notice-to-Proceed instruction which will trigger the commencement of contract execution,” Group Five said at the time.
Rand Merchant Bank, a division of South Africa’s third biggest bank, FirstRand Bank, is the coordinating lead arranger for the full commercial debt package, with support from the Export Credit Insurance Corporation of South Africa.
Global technology leaders, including General Electric (GE) and Siemens, will supply the power generation equipment which is about 50 percent of the contract value.
Group Five has successfully completed more than 10 EPC power contracts valued at R6 billion ($561 million) over the last seven years. The Kpone IPP is similar to a number of these completed EPC power contracts.
The group has also operated in Ghana for the last 15 years.
