Double senior management resignations at SIG
Sheffield-headquartered building materials specialist SIG today confirmed that its chief executive officer and chief financial officer have both resigned.
Meinie Oldersma has resigned from the role of chief executive officer and as a director of the company with immediate effect. And Nick Maddock has stood down from the role of chief financial officer and as a director of the company – also with immediate effect.
Oldersma had only recently returned to work on a full-time basis, after taking a leave of absence late last year due to a family illness.
The Board has appointed Steve Francis as chief executive officer on an initial contract until 31 December 2020 and as a director of the company with immediate effect. Francis is described as having a strong track record of “returning businesses to growth”.
The Board has also appointed Kath Kearney-Croft, interim chief financial officer, as a director of the company.
She joined the business in January, initially to provide support to the executive team during the leave of absence of Oldersma.
Prior to joining SIG, she was group finance director of The Vitec Group for two years and served at Rexam for nine years in a number of senior financial leadership roles including group finance director prior to Rexam being acquired by Ball Corporation Inc.
Chairman Andrew Allner said: “The Board is most appreciative of Meinie and Nick’s contribution to the transformation of SIG.
“They have led with great determination, energy and urgency in significantly reducing the cost base of the business, improving operating efficiency and completing the disposal of non-core businesses.
“They leave a much more focused business, a restructured balance sheet and a strong financial position, providing a sound platform for future growth.
“Now that this essential restructuring of the Group has largely been completed, the Board believes it is time for a new leadership team, with skills in driving rapid operational performance improvements through strong customer relationships, excellence in customer service and creating highly engaged teams.
“Management’s focus will be on developing the Group’s purpose and vision, building on its leading market positions and returning the business back to profitable growth.
“Steve is a widely experienced CEO with a strong track record of returning businesses to growth and so the Board has appointed him to help deliver this goal and help build relationships with all stakeholders.”
SIG has also published a trading update today. This notes that its results for the year ended 31 December 2019 are anticipated to be in line with guidance provided in January 2020 of underlying pre-tax profit of about £42m.
The Group says it is in a strong financial position following the completion of the sale of its Air Handling Division on 31 January 2020. It anticipates completion of the sale of the Building Solutions business in the first half of the year.
It has added: “These disposals complete the transition to a robust balance sheet with a net cash position on a pro forma basis. This will provide flexibility and scope for investment in the business where attractive returns can be made.
“In light of the directorate changes announced today the Group will now announce its 2019 full year results in the second half of April 2020 (previously Friday 6 March).”