Pennock holds a Uefa coaching qualification

Pennock will combine the job with his current role as Swansea City goalkeeping coach.

The 36-year-old was appointed Wales semi-professional manager in January.

Davies, who has managed the club for the past three years, will step down at the end of the season because of increasing work commitments.

He has enjoyed considerable success with the Steelmen, reaching the FAW Premier Cup semi-finals this year after a shock victory over Swansea City and reaching a highest ever league position of fifth last season.

"It is disappointing that Wayne has decided to step down, but I fully understand his reasons and we are indebted to the contribution he has made during his time in charge?, said club chairman Andrew Edwards.

"Wayne is without doubt the best manager I have had the pleasure of working with since I became involved in football, while his professional and dedicated approach has made him one of the most respected managers in the league.

"However, in Tony Pennock we have an ambitious young manager who will inherit an extremely talented squad of players and I am sure we will progress on our recent successes under his management."

Pennock will be assisted by Paul Reid, a former team-mate at Carmarthen Town who has vast Football League experience.