Five Carillion directors in senior management exodus

Aaron Morby 8 years ago
Share

Five key directors are stepping down at Carillion as the beleaguered contractor attempts to pull off a complex refinancing deal.

The senior management shake-up will see two of Carillion’s Canadian directors take key roles in the boardroom and a partner from Ernst and Young parachute in to lead a corporate restructuring.

Finance director Zafar Khan has left with immediate effect, just nine months after taking the top financial position.

He will be followed by Richard Howson, chief operating officer. Howson stepped down as chief executive immediately when Carillion announced a massive profit warning in July which sent shock waves through the industry.

He was then kept on to help the transition of the business to interim chief executive Keith Cochrane, while a search for a permanent replacement continues.

He was due to leave next year but will now depart at the end of the month when Carillion unveils its delayed half-year results.

This morning the firm also revealed Adam Green, managing director Carillion Construction Services and Nigel Taylor, managing director Carillion Services, will also step down at the end of September.

Shaun Carter, group strategy director, also joins the management exodus, leaving the contractor by the end of the year.

The high-level departures come at a turbulent time for the £5bn revenue group, following the shock profit warning which sent the shares plunging.

Since revealing a £845m black hole in July, Carillion’s share price has tumbled to just 44p.

The run on its shares has caused market capitalisation to crash from almost £1bn to less than £250m, seeing Carillion drop out of the FTSE 100 to be ranked on the FTSE Small Cap index.

Among the three new appointments, Carillion announced this morning that it has hired Lee Watson as chief transformation officer on secondment from Ernst & Young.

Watson has been a partner at EY since 2008. During this time he has advised on numerous transformations and restructurings for UK companies. 

Andy Jones, currently president and chief executive of Carillion Canada, has been appointed new chief operating officer and will take up this role on 1 October.

Emma Mercer replaces Khan as chief financial officer with immediate effect.

Since joining Carillion in 2008, Mercer has held several senior positions, most recently finance director of the UK construction business.

Before that she was chief financial officer and senior vice president of Carillion Canada. 

Carillion was originally due to announce its half-year results in August, but the announcement has been pushed back until later this month.

 

Latest news

13-year-old becomes UK’s youngest qualified digger driver

Grandson of Gallagher Group chairman sets industry record
5 hours ago

Cubby reborn in £12m Svella-backed takeover

£50m revenue target set as 14 firms combine under new Cubby Group banner
20 hours ago

North East NHS trusts plot £3bn health estate overhaul

Market engagement begins for major construction push across four trusts
20 hours ago

HG goes green on cranes in £1.2m switch to battery power

Diesel-free crane drive cuts fuel bills by 94%
20 hours ago

Developer fined £165,000 for fire safety failings

Firm ignored fire safety orders on apartment job in Preston
20 hours ago

Bidding to start for £1.8bn North West framework

Contractors invited to bid for latest Procure Partnerships deal
21 hours ago

Hill hits record £90m profit as homes pipeline swells

Build-to-rent push and £4.8bn contracting book to fuel next growth phase
2 days ago

Rayner unveils £39bn plan to build 300,000 social homes

Council building revival and rent reform feature in social and affordable homes plan
2 days ago

Keltbray bounces back with £3.2m profit

Tighter controls and smarter project selection fuel strong turnaround
2 days ago

VINCI JV wins 500-home twin town centre revamps

Chester Northgate phase 2 and Northwich Weaver Square schemes move to delivery stage
2 days ago

80 energy projects unlocked as Ofgem backs grid expansion

£24bn energy networks deal gets green light from regulator
3 days ago

How to see your stories on the Enquirer

Join our Suppliers and Buyers directory to get your news published
2 days ago

Henley lands Midland Mill revamp on Leeds tower scheme

Restoration of 18th-century mill kicks off on South Bank regeneration project
2 days ago

New boss at Eric Wright Civil Engineering

Gavin Hulme takes top job as Diane Bourne moves to group role
2 days ago

Pinewood submits £1bn data centre plan

Studio giant adds green and learning spaces to tech hub blueprint
3 days ago

Record results after TClarke goes private

Britain's biggest M&E contractor flourishes after de-listing
3 days ago

Dalkia lands £200m nuclear maintenance deal

1,000 nuclear FM staff to join M&E contractor
3 days ago

Construction comeback to outpace wider economy

Arcadis forecast fueled by spending review optimism
4 days ago

First steel goes up on giant car battery site

Severfield gets to work on McAlpine Somerset site
4 days ago

Permasteelisa wins cladding deal on Bovis city tower

Facade specialist lands package at 60 Gracechurch Street
3 days ago

Fox buys recycled asphalt specialist Fisher

Acquisition adds major recycled asphalt capacity in north west
4 days ago

Major Building Safety Regulator shake-up to end tower delays

HSE stripped of control and top fire chiefs brought in to fast-track stalled schemes
4 days ago

Hinkley trio sign Sizewell civils deal

Balfour,Bouygues and Laing O'Rourke form Civil Works Alliance for new power station
4 days ago

£3.9bn data centre plan for Ravenscraig steelworks

Green energy to power massive new steel to silicon AI campus
4 days ago

Breakthrough on HS2’s second longest tunnel

8.4 mile Northolt to Old Oak Common drive completes
4 days ago

Neilcott on fast-track to debt-free employee ownership

£22.5m loan nearly paid down after big profit year
4 days ago

TfL kicks off race for £700m Tube station upgrade

South Kensington and Elephant & Castle top the pipeline list
4 days ago

Corbyn Plant Hire fleet goes under the hammer

Kit to be sold off by sister firm to collapsed groundworks contractor
4 days ago

Government wields procurement stick on late payment

New rules would block slow payers from bidding on big public jobs
7 days ago

Hercules buys power line labour firm for £15.7m

Labour supply specialist snaps up Advantage NRG to tap booming electricity upgrade market
7 days ago