Peter Njonjo, the Co-founder and former CEO of Twiga Foods, has officially resigned from the company’s board. This move comes just a month after Njonjo stepped down as CEO, citing a six-month sabbatical, but recent developments suggest a deeper story.
Peter Njonjo, who founded Twiga Foods in 2013 and led the company until December 2023, played an important in guiding the growth of the agritech firm. However, his abrupt exit from the board points to a change in the company’s leadership dynamics.
According to a letter addressed to Twiga Holdings board chairman Hein Pretorius, dated January 4, 2024, Njonjo expressed his belief that he could contribute “very little value” to the company’s current transition. This stance has fueled speculations about potential disagreements or conflicts within the boardroom, especially concerning the strategic direction and daily operations, now firmly in the hands of major investors, Juven and Creadev.
Twiga, a well-known household items wholesaler and food distributor in Nairobi, recently faced operational challenges, including staff layoffs, deferred payments to suppliers, and delayed salaries, leading to a 40 percent cut in its workforce. These challenges, combined with the aftermath of a $35 million funding round, in which Juven and Creadev participated, raised concerns about the company’s stability.
Njonjo’s resignation raises questions about the true nature of his departure, challenging the situation presented during his initial announcement. Reports suggest Njonjo had initially agreed to a six-month transition period at the board’s request after his resignation as CEO. However, the terse resignation letter suggests a more complex situation.
In response to inquiries, Njonjo dismissed claims of a boardroom coup and emphasised his continued commitment as a shareholder. He mentioned having faith in the current board and management team, stating, “I would want to play the role of a supportive shareholder.”
Despite the challenges, Njonjo reflected on Twiga’s achievements during his ten-year tenure, highlighting the company’s impact on food security locally and globally. He also outlined his strategic contributions, including a recent funding round in November 2023, where he became the third-largest investor after Creadev and Juven.
Njonjo’s decision to step back from the board and focus on other opportunities has left Twiga at a critical juncture. As the company scales this transition period, stakeholders anticipate seeing how the new leadership, dominated by foreign shareholders, will guide Twiga in its pursuit of sustained growth and success.
