‘Company doctor’ confirmed as next Debenhams chief executive
High street retail chain Debenhams has confirmed the appointment of its new chief executive.
Terry Duddy, who has been at the helm of the struggling group throughout its CVA (company voluntary arrangement) process, is to stand down next month.
He will be replaced by company turnround specialist, Stefaan Vansteenkiste.
Stefaan joined Debenhams in April 2019 as chief restructuring officer and has been working closely with the executive team on a new business plan to deliver a turnaround.
He is an experienced turnaround expert at professional services firm, Alvarez & Marsal.
He is a seasoned chief executive and retail operator, having served as chief executive or advisor at a number of large retail and consumer companies.
Terry Duddy, chairman of Debenhams Group, will work with Stefaan to ensure an orderly handover and then step down from the board in September.
He said: “The board welcomes Stefaan’s appointment as CEO.
“We concluded that he is the right person to take the business forward into the next phase of its recovery.
“Stefaan has already made a strong contribution since joining Debenhams, and has the support of our investor consortium to drive forward our turnaround plan.”
Mr Vansteenkiste said: “The retail industry faces a challenging environment and everyone at Debenhams acknowledges that.
“But we have a clear plan and Debenhams has a great team of people who are committed to delivering it.
“I am very excited about Debenhams’ strong prospects and with a restructured balance sheet there is a robust platform from which to build a turnaround, based on Debenhams’ clear brand focus, broad customer reach and differentiated product offer.”
In May this year Debenhams was given the green light to press ahead with restructuring plans after it briefly went into pre-pack administration in April, resulting in the company’s lenders taking control.
The CVA approval from creditors means the chain will close 22 stores and bring in rent cuts at many others.
Landlords and other creditors approved the closures, which form part of two CVA deals Debenhams said are necessary to prevent the business collapsing.
Chairman, Terry Duddy said at the time: “We did not want to be here … but the alternative has been stark.”
He said he was confident Debenhams had a future if the restructuring plan went ahead.
Stores due to close in 2020 are: Altrincham, Ashford, Birmingham Fort, Canterbury, Chatham, Eastbourne, Folkestone, Great Yarmouth, Guildford, Kirkcaldy, Orpington, Slough, Southport, Southsea, Staines, Stockton, Walton, Wandsworth, Welwyn Garden City, Wimbledon, Witney, Wolverhampton.
It is believed that the restructure will eventually see around 50 of Debenhams’ 166 stores shut.
The group operates flagship stores in Manchester’s Market Street, and the Liverpool One retail centre, as well as outlets at the Trafford Centre, Chester, Cheshire Oaks Ellesmere Port, Warrington, Stockport, Oldham, Bury, Bolton, Wigan, Blackburn, Preston and Blackpool.
Mr Vansteenkiste is a managing director at turnround specialists Alvarez & Marsal.
Since he joined A&M in 2003 he has been involved in a range of turnaround situations, including CEO and other roles at Intertoys, Vion Food Group, Diam International and Bally Shoes.
Previously he held senior management roles at theme parks Six Flags and Taco Bell among others.
He holds a bachelor’s degree from the University of California, an MBA from the University of Michigan and a masters from the University of Antwerp.
