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Spar’s independent retailers have rejected allegations of threats and intimidation after the resignations of former chair Mike Bosman and his deputy, Shirley Zinn, this week after months of pressure from disgruntled retailers.In correspondence to the National Council of Retailers dated August 19, which Business Day has seen, the Spar Guild of Southern Africa, which represents the interests of Spar’s independent retailers, said they had acted on a formal mandate from the national council and denied any involvement in wrongdoing directed at the two directors.The directors resigned after saying they had been subjected to sustained personal attacks, hostility and threats from certain present and former Spar retailers and former employees.The guild said the alleged personal attacks could not be laid at the independent retailer’s door.(Dorothy Kgosi) According to the guild, the national council had unanimously renewed its mandate for leadership change at a meeting on July 29.“We further distance ourselves from any such conduct and deny any participation in threats, intimidation, or other wrongdoing directed at the chairperson or deputy chairperson,” the guild said.The resignations come as Spar works through a broader turnaround under new CEO Reeza Isaacs.Isaacs stepped up to the role in February after the abrupt resignation of Angelo Swartz.Bosman and Zinn, in a joint statement, have flagged abuse meted out against them by the independent retailers, acting through the guild.“We fully accept that differences of opinion, robust debate and criticism are part of serving on the board of a major listed company. However, we believe there is a line between legitimate disagreement and conduct that ceases to reflect the respect, fairness and dignity with which people should treat one another,” said Bosman and Zinn. “For both of us, that line has now been crossed to an extent that makes our continued involvement with Spar untenable.”The relationship between Spar’s board and its independent retailers had already come under pressure before the resignations.In May, Business Day reported that Spar had rejected a call from its retailer base for Bosman to leave. A petition submitted by elected representatives of the Spar National Council on May 8 cited a “serious and collective loss of confidence” in his leadership. At the time the group maintained it would support the former chair.The retailers said their concerns were linked to Spar’s performance and growing tensions between the board and its independent store network.Bosman became chair in December 2022 and later served as executive chair after the retirement of the group’s previous CEO in January 2023. Lwazi Koyana has been appointed as the interim chair.“His sound judgement, calm leadership and unwavering commitment to the group make him exceptionally well placed to guide the board and ensure continuity and momentum during this important juncture,” said Spar. The retailers said their objective was not personal and that they now wanted to rebuild relationships across the Spar system.“Our shared objective must be to restore confidence, rebuild the strength of the business and return Spar and its retailers to the level of performance, pride, and success that has historically defined the group,” they said.Spar is implementing cost-cutting measures, including voluntary retrenchments, while dealing with operational, structural and governance challenges. The group has also been working to stabilise the business after past system disruptions.The group’s share price has taken a hammering, down nearly 60% this year and 80% over the past five years.Business Day
