In today’s fast-paced business world, leadership isn't just about calling the shots — it's about inspiring, guiding, and building an environment where people can thrive. Yet, not all leaders rise to this ideal.
Toxic leadership — marked by manipulation, favoritism, poor communication, and lack of empathy — is a silent destroyer within organisations. It doesn't just bruise egos or create minor setbacks; it systematically erodes employee morale, wrecks team dynamics, and cripples overall company performance.
In this edition of Arowana Insights, we’ll take a deep dive into how toxic leadership affects employee morale, the warning signs organisations need to watch for, and why addressing these issues is critical for long-term success.
Toxic leadership refers to a style of management where leaders prioritise their own interests, often at the expense of their team’s well-being and the organisation’s mission. Instead of empowering employees, these leaders instill fear, insecurity, and distrust.
Common traits of toxic leaders include:
While toxic leadership can sometimes deliver short-term results, its long-term effects are devastating, leading to broken teams, burned-out employees, and massive hidden costs.
Trust is the bedrock of any healthy organisation. When leadership becomes toxic, trust is the first casualty. Employees subjected to manipulation, inconsistency, or favoritism begin to doubt their leaders — and eventually, the organisation itself.
According to a 2024 survey by Gallup, trust in leadership is directly correlated with employee engagement. Without trust, morale plummets. Workers become guarded, communication suffers, and innovation grinds to a halt.
In a toxic environment, employees often find themselves second-guessing not only their leaders but also their coworkers. Paranoia spreads, and collaboration evaporates. It's not just uncomfortable — it's organisationally dangerous.
Key takeaway: When employees can't trust leadership, morale doesn't just dip — it falls off a cliff.
Toxic leadership doesn't just stay within office walls — it takes a heavy toll on the mental health of employees. Chronic stress becomes the norm, with anxiety levels steadily rising as employees navigate unpredictable and often hostile work environments.
Research from the American Psychological Association (APA) shows that workplace stress is a leading cause of anxiety disorders, emotional exhaustion, and eventual burnout. Under toxic leadership, workers often feel trapped: powerless to change their situation but fearful of speaking up.
Burnout isn't just feeling "tired." It’s a complete emotional and psychological shutdown. Signs of burnout include:
Organisations led by toxic managers often see burnout rates skyrocket, especially among their most dedicated and high-performing employees — a tragic irony.
Key takeaway: Toxic leadership transforms the workplace from a place of growth into a source of chronic emotional distress.
Job satisfaction and employee engagement go hand-in-hand with effective, supportive leadership. In toxic environments, both steadily deteriorate. Employees begin to feel undervalued, unheard, and ultimately invisible.
When leadership consistently overlooks input, dismisses concerns, or takes credit for employee achievements, team members lose their motivation to invest emotionally in their work. As engagement drops, so does overall organisational performance.
According to a 2023 LinkedIn Workforce Report, companies with highly engaged employees outperform their competitors by 21% in profitability. Conversely, disengagement — often triggered by poor leadership — drags down productivity, customer satisfaction, and profit margins.
Key takeaway: Toxic leadership doesn't just sap satisfaction; it drains the energy and enthusiasm that fuel company success.
One of the clearest signs of toxic leadership is increased turnover. Talented employees — the very people organisations can least afford to lose — often choose to leave toxic environments rather than endure ongoing emotional harm.
A study by the Society for Human Resource Management (SHRM) found that toxic workplace cultures cost U.S. companies over $223 billion between 2015 and 2025, primarily due to employee turnover.
High turnover isn't just a numbers game. It creates significant operational challenges:
Absenteeism is another telltale symptom. Employees may start calling in sick more frequently, using mental health days to escape the toxic atmosphere.
Key takeaway: If your best people are leaving or frequently absent, toxic leadership could be to blame — and the financial cost is staggering.
Leadership should act as a catalyst for high performance, but in toxic environments, it becomes a bottleneck. Demotivated, stressed, and disengaged employees are far less likely to perform at their best.
Instead of bringing new ideas, solving problems creatively, or going the extra mile, employees under toxic leadership often do only what’s required — no more, no less. This phenomenon, known as "quiet quitting," is becoming alarmingly common in toxic workplaces.
Productivity suffers in multiple ways:
When morale hits rock bottom, organisations often find themselves struggling to compete — not because they lack talent, but because they failed to nurture it.
Key takeaway: Toxic leadership doesn't just dim individual performance; it darkens the entire organisation's future.
Teams thrive on trust, mutual respect, and open communication. Toxic leaders, however, often sow division instead. Whether through overt favoritism, scapegoating, or pitting employees against each other, these leaders create fractured, distrustful teams.
In such environments, communication becomes guarded or entirely shuts down. Employees fear retaliation for honest feedback or dissenting opinions. Meetings become performances rather than platforms for real collaboration.
Ultimately, a breakdown in communication leads to:
According to Forbes, highly cohesive teams are 50% more productive and 30% more innovative than fragmented ones. Toxic leadership not only undermines cohesion — it actively destroys it.
Key takeaway: Toxic leaders don’t just damage individual relationships — they dismantle the entire social fabric of the workplace.
The impacts of toxic leadership are not confined to working hours. Stress, anxiety, and dissatisfaction often spill over into employees' personal lives, affecting their health, relationships, and overall well-being.
Employees under toxic leadership may experience:
This spillover effect creates a vicious cycle. As personal lives become strained, employees’ ability to focus and perform at work deteriorates further, perpetuating the negative impacts.
Beyond the individual level, toxic leadership also damages an organisation’s brand reputation. Glassdoor reviews, employee testimonials, and word-of-mouth all suffer when people feel mistreated.
Key takeaway: Toxic leadership doesn't clock out at 5 PM — it continues to hurt employees long after they leave the office.
The longer an organisation tolerates toxic leadership, the deeper the damage becomes. Companies that fail to act risk not only losing their best employees but also facing long-term reputational and financial consequences.
Key steps organisations can take include:
Ultimately, companies that foster healthy, supportive leadership styles reap massive benefits: higher engagement, stronger performance, lower turnover, and a reputation as an employer of choice.
At its core, leadership is not just about meeting KPIs or maximising quarterly profits. It’s about creating environments where people feel safe, valued, and inspired to do their best work.
Toxic leadership is a hidden epidemic in many organisations, silently eroding morale, trust, and performance. Its impacts stretch far beyond the workplace, affecting the mental health and well-being of employees — and eventually the bottom line.
Companies that recognise, confront, and correct toxic leadership will not only save their cultures — they’ll position themselves for sustainable success in a world where talent and innovation are the ultimate competitive advantages.
For more news and insights, stay tuned to the Arowana website.
The Safari Collection is a world-renowned luxury safari company and owner of the Giraffe Manor
This is another leading safari company in Africa that has placed an order with Tembo
The first order was from Asilia Africa announced in February 2025
Tembo's solutions selected to drive sustainable safari experiences across Kenya
VivoPower is pleased to announce that its wholly-owned subsidiary, Tembo e-LV, has secured an inaugural order for its EV conversion kits from The Safari Collection, owner of luxury properties in Kenya, including the Giraffe Manor, Sasaab, Sala's Camp and Solio Lodge.
Established in 2009 by conservationists and safari entrepreneurs, Tanya and Mikey Carr-Hartley, The Safari Collection is a privately owned portfolio of distinctive luxury camps and lodges set in some of the most breathtaking locations across Kenya. Born from a deep passion for sharing the magic of Africa with the world, the company has grown into a leading name in bespoke safari experiences. With a strong focus on sustainable environmental practices and community empowerment, The Safari Collection plays a vital role in creating meaningful economic opportunities for the people of Kenya, all while preserving the extraordinary natural heritage of the region.
Tanya Carr-Hartley, Co-Founder of The Safari Collection, said: “At the Safari Collection, our commitment to preserving Kenya’s wild beauty goes hand in hand with innovation. Partnering with Tembo to electrify our vehicle fleet is a natural extension of our mission – to offer world-class safari experiences while treading lightly on the land we so deeply cherish. This is not just about mobility; it’s about sustainability, legacy, and protecting the places we love for future generations.”
Mikey Carr-Hartley, Co-Founder of The Safari Collection, said: “Our lodges are located in some of the most pristine, remote landscapes in Africa. Switching to electric safari vehicles helps ensure these extraordinary ecosystems remain intact – not only for our guests today, but for our children tomorrow. After having evaluated a number of alternative options, we decided to proceed with Tembo as their solutions were superior and more cost effective than other offerings in the market.”
Matthew Nestor, VivoPower’s Global Head of Partnerships and Sales, said: “We’re thrilled to partner with The Safari Collection, an organisation whose values of conservation, innovation, and local stewardship closely mirror our own. By electrifying their safari fleet, they’re not just leading by example in eco-tourism, but also proving that luxury and sustainability can go hand in hand, even in the most rugged environments.”
To read the full press release, and to keep up with all of VivoPower’s releases, visit the company's Press Releases page.
About The Safari Collection
Founded by Tanya and Mikey Carr-Hartley in 2009, The Safari Collection is a family-run portfolio offering immersive experiences at six unique properties in the finest locations in Kenya. The Carr-Hartleys are a family passionate about adventure, the spectacular un-spoilt wilderness areas of their home country and protecting it for future generations. It is from this pioneering spirit and love for Kenya’s wildest corners that The Safari Collection was born. The energy and passion of their dynamic team flows through everything that they do. The Safari Collection's authentic, first-hand knowledge spans the entire region to create unique, cutting-edge experiences.
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Recruiting the right talent goes beyond finding impressive résumés and technical skill sets in your candidate pipeline. Amid ongoing pressure for businesses to scale up, culture fit has become one of the more critical factors in hiring success.
Culture fit isn’t just a “soft” consideration; it’s a decisive element that influences engagement, performance, collaboration, retention, and brand reputation.
When companies prioritise culture fit during recruitment, they build teams that are stronger, more cohesive, and ultimately better positioned for long-term success.
Here’s why culture fit should sit at the heart of any talent acquisition strategy – and how it can transform the future of any organisation.
When employees feel aligned with an organisation’s culture, they are naturally more engaged and satisfied in their roles. They aren’t just completing tasks – they are participating in a shared mission that resonates with their personal values and work styles.
Employees who experience cultural alignment tend to demonstrate:
Research shows engaged employees are more productive, innovative, and loyal. They’re the people who bring fresh ideas to the table, who persevere during challenges, and who go the extra mile – not because they have to, but because they want to.
In short: When employees find meaning in their work, they deliver meaningfully better results.
An aligned culture acts as the connective tissue that binds a team together. When team members share core values and compatible work styles, they communicate more easily, trust each other more readily, and collaborate more effectively.
Teams that are culturally aligned are more likely to:
Organisations that focus on culture fit build teams that work together harmoniously, regardless of individual differences. This leads to higher collective performance, stronger creativity, and faster execution on projects.
Without cultural alignment, even the most talented individuals can find themselves working at cross purposes, leading to friction, inefficiency, and lost opportunities.
Teamwork thrives where shared values live.
Hiring mistakes are costly – not just financially, but in lost time, energy, and momentum. One of the most frequent and preventable causes of early employee departure is poor culture fit. In fact, 73% of professionals have reported leaving a job because they didn’t feel aligned with the organisation’s culture.
When companies focus on culture fit, they foster environments where employees feel truly at home. This sense of belonging directly contributes to higher retention rates, saving organisations the significant costs associated with frequent turnover, such as:
A stable, cohesive workforce also preserves institutional knowledge and builds stronger organisational memory, creating a powerful foundation for growth.
Retention begins with connection – and connection begins with culture.
Employees are the most powerful brand ambassadors an organisation can have. Their behaviour – both inside and outside the company – shapes public perceptions and influences customer trust.
When employees embody the organisation’s values and culture, they deliver a consistent, authentic experience to:
A strong, well-aligned culture enhances the organisation’s reputation, making it more attractive not just to prospective employees but also to investors, collaborators, and clients.
On the other hand, cultural mismatches can lead to inconsistent service, misaligned messaging, and reputational risk.
In today’s transparent world, internal culture is external brand.
Change is inevitable – and the ability to adapt is essential. Employees who fit well with the culture are better positioned to embrace change, integrate into new systems, and support evolving strategies.
Cultural alignment helps new hires:
While technical skills can be taught, cultural adaptability is far harder to instill after someone joins the team. That’s why forward-thinking organisations emphasise culture fit from the very start.
A workforce that shares a core cultural foundation can pivot faster, innovate smarter, and overcome obstacles more effectively than a fragmented one.
Skills evolve. Culture sustains.
Employees who are culturally aligned don’t just show up – they show up at their best. Research indicates that employees who fit well with an organisation’s culture are 20% more likely to achieve high performance levels.
This happens because:
When individuals feel connected to the larger mission and values of an organisation, their intrinsic motivation skyrockets. They don't simply work for rewards; they work for meaning.
This enhanced performance at the individual level naturally compounds at the organisational level. Departments become more efficient, customer experiences improve, and overall productivity increases.
Great performance isn’t demanded – it’s inspired by shared purpose.
Turnover due to poor culture fit can cost an organisation between 50% and 60% of the departing employee’s annual salary, with some estimates suggesting it can climb even higher when factoring in hidden costs like:
Prioritising culture fit from the beginning is a proactive investment that saves considerable time, energy, and financial resources.
It ensures that companies are building teams with lasting impact rather than constantly patching holes from misaligned hires. The more deliberate the focus on fit, the stronger and more resilient the workforce becomes over time.
Hire right the first time – and build a team that stands the test of time.
Culture fit should be an intentional, structured part of the recruitment process, not a vague gut feeling or afterthought.
Here’s how organisations can effectively evaluate and prioritise culture fit when hiring:
Before assessing candidates for fit, companies must have a well-articulated understanding of their own culture, including:
Communicating these elements early in the recruitment process – through job postings, interviews, and branding materials – helps attract candidates who resonate with the culture.
Behavioral interviewing techniques allow recruiters to explore how candidates have acted in real-world scenarios, providing insight into their values, decision-making processes, and interpersonal styles.
Questions might include:
The goal is to assess not just what candidates say they value – but how they demonstrate those values in action.
Having candidates meet with a cross-section of team members offers multiple perspectives on cultural compatibility. It also gives the candidate a broader sense of the organisation’s environment, increasing the likelihood of a mutually informed decision.
Asking candidates to work through hypothetical or real business challenges can reveal a lot about:
Simulations offer a practical way to observe whether a candidate's working style aligns with organisational culture.
Some organisations go further by using values alignment surveys or structured assessments to gauge how closely candidates’ personal priorities align with the company's core beliefs.
This structured evaluation can provide additional confidence in hiring decisions, especially for roles that demand high levels of leadership or cultural stewardship.
Culture fit isn’t about creating a monolithic workforce where everyone thinks alike. It’s about ensuring that diverse individuals can flourish together within a shared framework of values and purpose.
Prioritising culture fit during recruitment leads to a workplace where:
Culture is the one advantage that competitors cannot easily replicate. This is especially true in today’s workplace environment, where rapid change and fierce competition is constant. Organisations that protect and nurture their culture – starting with every new hire – will be the ones that not only survive but thrive for decades to come.
Because when people and culture align, extraordinary things happen.
For more news and insights, stay tuned to the Arowana website.
Arowana’s B Corp holding company will provide a succession and ownership transition pathway for B Corp founders seeking to exit but retain the ethos of their businesses
Investment focus will initially be on the ASEAN region but in time look to expand to other developing economies across the MENA and Latin American regions with large and growing populations
Arowana, the global B Corporation investment group, announced today that it has launched a holding company headquartered in Singapore to specifically invest in companies committed to the B Corp triple bottom line of People, Planet, and Profit across the ASEAN (Association of Southeast Asian Nations) region.
The primary purpose of this holding company, AIC Group Holdings, is to provide companies that are B Corp or want to become B Corp with an ownership succession pathway, which will respect and perpetuate the B Corp ethos and culture instilled by their founders. AIC Group Holdings is privately held.
In tandem with the launch of the holding company, Arowana has appointed Andrew Kassoy, co-founder of B Lab Global, the non-profit behind the B Corp movement, to the Advisory Board of AIC Group Holdings. In addition, Thomas Ng, a leading B Corp entrepreneur and founder of Genashtim, a fast-growing global social enterprise, has agreed to join the Advisory Board.
Arowana founder and chairman, Kevin Chin, commented: “We have been working on optimising a structure for two years and believe a holding company that has no restrictions in terms of investment entry and exit horizons is the best model that matches the succession and growth objectives of B Corp founders and their businesses. As a B Corp ourselves, we appreciate the dilemma that founders face in this regard. We consider Singapore to be the ideal headquarters for this holding company as we see many enterprises across the fast-growing ASEAN region that would be a good fit. This is consistent with Arowana’s broader strategy of pivoting our focus to developing markets across ASEAN and, in due time, Africa and Latin America with large and growing populations and economies.”
He further added: “I am honoured that two luminaries of the B Corp movement, Andrew Kassoy and Thomas Ng, have agreed to join the Arowana holding company advisory board members. Not only are Andrew and Thomas great stewards, but also world-class entrepreneurs who have led the scale-up of high-growth global enterprises. We expect to announce further additions to the advisory board and the holding company team in due course. Meanwhile, our team is already in exclusive due diligence processes on four proprietary investment opportunities in the ASEAN region that have come about because of Arowana’s veritable commitment to the B Corp ethos.”
Andrew Kassoy, co-founder of B Lab Global, commented: “Since the earliest days of the B Corp movement, we have seen first-hand the issues of succession and ownership transition faced by B Corp founders, especially when deliberating on acquisition proposals from non-B Corp entities. I am excited to join the Arowana B Corp holding company advisory board as I share the vision that Kevin Chin has in creating a permanent capital holding company structure with a genuine B Corp ethos that provides a compelling option for B Corp founders exploring succession and exit.”
Thomas Ng, B Corp steward and founder, said: “Having known Kevin Chin for some time and seeing first-hand his steadfast commitment to the B Corp values and mission, I am delighted to be joining the Arowana B Corp holding company advisory board. Across Genashtim’s operations in the ASEAN, African and Latin America regions, we see many businesses that the Arowana B Corp holding company would represent an attractive alternative to consider for succession and ownership transition.”
For more news and insights, stay tuned to the Arowana website.
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Agreement with Green Watt represents Tembo’s first deal in fast growing Saudi Arabian market
Green Watt has signed agreement with Tembo to sell and distribute 1,600 Tembo EUV units in the Kingdom of Saudi Arabia (KSA) up to 2030
Green Watt’s customer base includes Aramco, the world’s largest oil company, Halliburton, Honeywell, Baker Hughes and the Saudi Electric Company
VivoPower announced today that its subsidiary, Tembo e-LV (Tembo), has signed a Definitive Distribution Agreement worth up to an estimated US$85 million with leading Saudi Arabian energy and environmental solutions provider Green Watt to sell and distribute 1,600 Tembo electric utility vehicle (EUV) units across the Kingdom of Saudi Arabia over the next five years.
Green Watt is a KSA-based company established in 2016 and specializes in the areas of renewable energy, energy conservation, and environmental sustainability. With strong emphasis on environmental protection, quality and transparency, Green Watt assists its clients to achieve their financial and environmental objectives. By implementing energy conservation measures (ECMs), Green Watt ensures reduced power consumption, reduced cost and carbon footprint. In addition to that, Green Watt provides solutions ranging from stand-alone PV systems to complex hybrid applications. Customers of Green Watt include Aramco, Halliburton, the Saudi Electric Company, Honeywell, Baker Hughes, JAL International, and Al Mansoori, among others.
The strategic distribution agreement between VivoPower and Green Watt reflects both companies' shared commitment to advancing sustainable energy solutions in the Kingdom of Saudi Arabia.
Saudi Arabia presents an opportunity for corporate partnerships in sustainable energy solutions, driven by strong government support and ambitious carbon reduction targets aligned with global sustainability goals. The widespread use of ruggedized utility vehicles, such as the Land Cruiser 70 series, by law enforcement and government agencies, as well as the mining, oil and gas and other industrial sectors means there is a significant addressable market for electrification.
With numerous agencies and corporates operating under vehicle lease structures, converting used Land Cruisers to electric and re-leasing them offers a practical, cost-effective pathway to electrification. This model not only lowers operational costs but also supports the KSA’s transition to a greener economy.
Nazir Muhammad, CEO of Green Watt, said: “At Green Watt, we believe in electrifying the future of mobility, not just in words but in action. Our partnership with Tembo marks a decisive step towards cleaner, smarter transportation solutions across emerging markets. Together, we’re not only reducing emissions but also empowering communities with sustainable technologies that work for people and the planet.”
Matthew Nestor, Director, Head of Global Partnerships at VivoPower, said: “This partnership with Green Watt is a strategic milestone in our mission to deliver turnkey sustainable energy solutions to the Kingdom of Saudi Arabia. Nazir and the Green Watt team share our commitment to decarbonizing transport in a commercially viable and socially impactful way. By joining forces, we’re accelerating the deployment of Tembo’s electrification technology in a country committed to decarbonisation, where it can make a transformative difference.”
To read the full press release and to keep up with all of VivoPower’s releases, visit the company's Press Releases page.
About Green Watt
Established in 2016, Green Watt is led by a team with over 25 years of experience in the energy sector. The company specializes in the areas of renewable energy, energy conservation, and environmental sustainability.
With a strong emphasis on environmental protection, quality, and transparency, Green Watt assists clients in achieving their financial and environmental objectives. By implementing energy conservation measures (ECMs) the company ensures reduced power consumption, reduced cost, and carbon footprint. In addition to that, Green Watt provides solutions ranging from stand-alone PV systems to complex hybrid applications.
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The Plain English Foundation has welcomed Juliana Ribeiro as the team's new Marketing Manager. A 15-year veteran of the marketing industry, Ribeiro specialises in the business-to-business industry, but has worked in a range of industries, including luxury goods, software as a service, and business to consumers.
Ribeiro lives by Thomas Jefferson’s wisdom, "The most valuable of all talents is that of never using two words when one will do."
Expect clear, concise, and effective communication from Juliana as she helps us spread the word about plain language.
For more news and insights, stay tuned to the Arowana website.
Arowana's Circle of Leadership (COL) 54 brought together thought leaders and experts in their field to discuss the most salient challenges and opportunities shaping industries and economies today.
From impact-driven innovation by Thomas Ng, Founder & CEO of Genashtim, to sustainability solutions by John Ephraim Torres (Jet), Global Venture Development Manager at Arowana, the event sparked insightful conversations.
Simon Ogus, Founder & CEO of DSG Asia, discussed the macroeconomic outlook on a potential U.S. recession, while David Mansfield, former CFO of Vinfast, shared insights into IPOs and SPACs in the U.S. capital markets.
Rob Foster, CEO of Geminum, explored the transformative power of Digital Twins and AI in today’s business landscape.
For more news and insights, stay tuned to the Arowana website.
The Green Antz team recently partnered with Colgate-Palmolive to build a new handwashing station in Quezon City. Made using GA's own eco-bricks and sustainable ‘greenite’ materials, the installation provides an excellent opportunity for residents to stay safe and healthy by keeping their hands clean.
Arowana Impact Capital supports Green Antz in its commitment to creating a cleaner and greener future for Filipinos through corporate social responsibility.
For more news and insights, stay tuned to the Arowana website.
VivoPower subsidiary, Caret Digital, to be spun off via a direct Nasdaq listing
VivoPower shareholders as of a future record date, to receive 5 Caret Digital dividend shares per VivoPower share held
Implied market capitalisation of $250m (subject to change depending on market conditions and quantum of capital raising)
Caret Digital to focus on Dogecoin (DOGE) mining with BTC conversion to optimize returns and yield
VivoPower announced today that it has engaged advisors to support in executing its plan to spin off its subsidiary, Caret LLC (Caret Digital), through a direct listing on the Nasdaq Stock Market.
The decision to effectuate a spin off via a direct listing rather than a reverse merger is based on expediency and efficiency in relation to cost and timeline, as well as the ability to more readily distribute dividend shares to VivoPower shareholders. Furthermore, this avoids the complexities of a reverse listing into a Canadian or other non-Nasdaq listed shell company as previously considered.
It is proposed that VivoPower shareholders as at a future record date, will be entitled to receive five (5) shares of Caret Digital for each VivoPower share held. The implied market capitalisation is $250m (which is subject to change based on market conditions and other factors). Additionally, Caret Digital intends to raise $10 million from strategic investors as part of the transaction to support growth plans.
Caret Digital’s strategy will initially focus on cryptocurrency mining, with an emphasis on mining Dogecoin (DOGE) as previously announced. Leveraging DOGE mining economics, the company will convert mined DOGE into Bitcoin (BTC), securing BTC at an effective discount (based on current DOGE mining economics), which will then allow it to execute on strategies to optimise BTC yield and returns.
The spin-off plan was previously approved by VivoPower shareholders at the Company’s Annual General Meeting held in December 2023. Furthermore, at the Annual General Meeting in December 2024, shareholders authorized the Company to proceed with mergers or divestments, as deemed appropriate, in alignment with the Company’s strategic objectives.
As part of the planned spin-off, there can be no assurances that VivoPower will consummate the proposed transaction on the terms currently contemplated, or at all, as it will be subject to market conditions.
To read our full press release, and to keep up with all of VivoPower’s releases, visit the Press Releases page.
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5-year agreement targeting 200 vehicle conversions in first year and 1,600 over five years
Provides local sales, service, and maintenance, further boosting Tembo’s position in the East African market, a population exceeding 500 million people
AVA’s vehicle assembly facilities have the capacity to assemble 30,000 vehicles per annum
AVA currently assembles vehicles for leading OEMs including Toyota, Fuso, Proto, Hino, Mahindra, Scania, Tata, Volvo and Daewoo
Established in 1975, AVA is the only assembler in the region to have achieved IATF16949 Certification
VivoPower announced today that its subsidiary, Tembo e-LV, has signed a Heads of Agreement with Associated Vehicle Assemblers (AVA), East Africa’s market-leading vehicle assembler.
The Agreement covers Kenya, Tanzania, and other East African nations. With a population exceeding 500 million people, East Africa is the largest sub-region in Africa and home to the United Nations headquarters for Africa.
Under the terms of the Agreement, AVA is empowered to both distribute and locally assemble Tembo’s 100% electric utility vehicle (EUV) solutions across East Africa for customers in the mining, agriculture, energy, safari, non-government organisation (NGO), defence, and government sectors. Crucially, it provides customers and partners in the East African region with local maintenance and support capabilities. This Agreement augments a previous partnership agreement that Tembo signed with ETC Group in relation to Kenya specifically.
The Agreement reflects both companies’ commitment to supporting Kenya’s transition to sustainable transportation and creating value and jobs in local economies across East Africa.
“We are seeing an acceleration in demand for electric vehicles across East Africa, from both government and private sector companies,” stated Matt Lloyd, CEO of AVA. “Having conducted an expansive review of electric conversion companies, we selected Tembo based on their experience, their cultural adaptability as well as the fact they have the most competitively priced products and solutions which also meet our quality and safety standards. Our team is excited to welcome Tembo’s engineers to Kenya in April 2025 as we kickstart the first assemblies for the Kenya market.”
“With the new and reduced pricing for our next-generation EUV25 electric conversion kits, we have seen a surge in interest from new and existing customers and partners. This is a direct consequence of Tembo’s strategy to diversify and strengthen its supply chain which has translated into a significant reduction in costs, without sacrificing quality and safety,” commented Matthew Nestor, Tembo’s Head of Partnerships and Sales. We are delighted to have been selected to partner with AVA, who are the pre-eminent vehicle assembler in East Africa.”
Kevin Chin, Executive Chairman and Chief Executive Officer of VivoPower, stated, “We are honoured to be partnering with AVA. This is part of a considered and patient strategy we have been executing upon globally to identify and build partnerships with long-established and credible leaders in their respective markets who are genuinely aligned in terms of values and like us, have a long-term commitment to deliver electrification solutions and transformation to entire nations.”
To read our full press release, and to keep up with all of VivoPower’s releases, visit the Press Releases page.
About AVA
Associated Vehicle Assemblers Ltd. (AVA) is East Africa’s leading vehicle assembler, with decades of experience in producing high-quality vehicles tailored to meet the unique needs of the region. Based in Mombasa, AVA has established itself as a trusted partner for global automotive brands, providing state-of-the-art assembly services and technical expertise. AVA’s commitment to quality, innovation, and sustainability has made it a key player in Kenya’s automotive industry, driving economic growth and supporting the transition to more sustainable transport solutions. As a pioneer in the region, AVA continues to lead the way in assembling vehicles that meet the highest global standards while catering to local market demands.
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