Datuk Ahmad Nazim Abd Rahman (The Edge filepix)

KUALA LUMPUR (Jan 31): The Armed Forces Fund Board (LTAT) has announced the immediate resignation of Datuk Ahmad Nazim Abd Rahman as chief executive, just over a month after it was reported that a planned restructuring of the board had been put on hold following a change at the helm of the Ministry of Defence (Mindef).

In a statement on Wednesday, LTAT chairman Tan Sri Raja Mohamed Affandi Raja Mohamed Noor conveyed appreciation for Ahmad Nazim’s exceptional dedication and contributions to LTAT and its group of companies during his tenure, but did not say why Ahmad Nazim was leaving.

"We applaud his efforts in ensuring that LTAT and its stakeholders’ interests, particularly contributors, are not only safeguarded but will also continue to grow," Mohamed Affandi said.

Ahmad Nazim had successfully overseen the privatisation of its then heavily indebted unit Boustead Holdings Bhd for about RM703 million.

Under his watch, LTAT was also to privatise Boustead Plantations Bhd but only after selling an initial 33% stake to Kuala Lumpur Kepong Bhd (KLK) for RM1.15 billion. However, political concerns that Bumiputera equity was being diluted in the sale to KLK led to the scrapping of the deal and subsequently, LTAT decided to privatise the planter itself with a government injection of RM300 million and a government guarantee for a RM2 billion loan.

During a Cabinet reshuffle that took place on Dec 12 last year, former higher education minister Datuk Seri Mohamed Khaled Nordin was appointed to lead Mindef, taking over from Datuk Seri Mohamad Hasan.

Shortly after that, The Edge reported in its publication for the week of Dec 18-24, citing sources, that those involved in the restructuring of LTAT had been told not to proceed with any work on it pending a review by the new minister.

In LTAT's statement on Wednesday, Mohamed Affandi said while the group begins its search for a new chief executive, it will remain focused on executing its strategic priorities and delivering value.

Ahmad Nazim, meanwhile, expressed his gratitude for the opportunity to lead LTAT.

"I am incredibly proud of what we have accomplished together as a team, and I am confident that the organisation is well-positioned for continued success in the future," he added.

Ahmad Nazim was appointed to the office on June 15, 2021. According to LTAT, under his leadership, the organisation had achieved significant milestones, including the launch of the LTAT Strategic Plan 2023-2025 (SUSTAINABLE25).

Prior to joining LTAT, Ahmad Nazim was also the former Southeast Asia head of Abu Dhabi-based asset manager Allied Investment Partners.