Fallout At Lancet Kenya As CEO Ahmed Kalebi Seeks Ksh1.9 Billion In Exit Package
Lancet Kenya founder and CEO Ahmed Kalebi is set to leave the firm as a CEO and a shareholder on April 30 when his employment expires.
Dr Kelebi, who founded the firm in 2009, has been working as East Africa CEO and chief consultant pathologist.
In a letter by his lawyer Donald Kipkorir ahead of today’s board meeting, Dr Kelebi says that he will not seek a fresh mandate to head the firm, or even remain as a shareholder.
He is therefore seeking close to Ksh1.9 billion as exit packages for his shareholding and employment.
“The current term under the aforementioned employment contract is set to lapse on 30th April 2021 and our client does not wish to apply for a new term. The total claim under the employment contract and under shareholder agreement is Ksh1,851,879,151.75 which sums our client claims,” readthe letter in part.
This comes as a blow to his South African and French partners, whom he accuses of sidelining him from Lancet operations, including hiring of executives while diluting his ownership.
Dr Kelebi started Lancet in 2009 as a splinter of the South African company, operating under Pathologist Lancet Kenya (PLK) and Lancet Services Company (LSC).
Later in 2019, France-based multinational Cerba Healthcare bought substantive shares in South Africa’s Lancet Laboratories which saw it control the East African unit.
Lancet SA holds a 49 percent stake in the joint venture while Cerba Healthcare has 51 percent.
Dr Kalebi currently owns 7.67 percent of PLK and 10 percent of LSC.
He is seeking an overtime pay amounting to Ksh473,523,080; bonus pay for 11 years of service of Ksh54.7 million; gratuity pay of Ksh14.5 million and a golden parachute or exit package of Ksh100 million.
“Our client wants his shares in PLK and LSC to be converted into preferred shares and free from any dilution without our client’s consent,” added the letter.
The East Africa unit generates annual sales of Ksh2.5 billion.
“We are under instruction to claim for goodwill in the sum of Ksh1,167,738,000 being the weighted average of our client’s contribution to the business brand and goodwill based on OECD’s recommended guidelines on pricing of intellectual property since 2009 to date,” added the letter.