Tesco (TSCO) has stunned analysts by hiring a relatively unknown businessman to replace Dave Lewis after his shock resignation as chief executive. The grocer named Ken Murphy, a former senior executive at pharmaceuticals behemoth Walgreens Boots Alliance, as its new boss – and is paying him more than veteran leader Mr Lewis, who is widely credited with saving Tesco from collapse. Experts were stunned by the decision, which will leave one of the country’s most famous names in the hands of a chief executive who has never been in charge of a company before.
Metro Bank (MTRO) finally completed a crucial £350m fundraising after controversial founder Vernon Hill quit as chairman in the face of an investor backlash. Mr Hill – who once said that he was so committed to Metro he would “probably die there” – will leave the board altogether, despite vowing earlier this year to stay on as president after handing over to a new chairman. The 74-year-old’s decision to quit came days after the bank was forced to cancel the previous attempt due to lack of interest prompting fears for its future.
Bob Dudley, chief executive of BP (BP.), confirmed he will step down from the energy giant next year when he turns 65 – even though the company’s board has yet to make an announcement on his future. Mr Dudley has run the firm since predecessor Tony Hayward left in the wake of the Deepwater Horizon catastrophe in the Gulf of Mexico. His departure plans, announced at an energy conference in Moscow, added to the damage for shares in the company, which was the heaviest dropper on the FTSE 100 on Wednesday on a day of destruction for the stock markets.
Martin Gilbert is standing down from the board of Standard Life Aberdeen (SLA) as he waits for approval to join Revolut as its chairman. The City heavyweight, who ran Aberdeen Asset Management for more than three decades prior to its £11bn merger with Standard Life in 2017. The company said today Mr Gilbert – who was the longest-serving boss of a FTSE 100 business, and the second-oldest at 64 – will not seek re-election at its Annual General Meeting in May 2020.
ASOS (ASC) beefed up its board on Wednesday with a string of appointments including Ocado executive Luke Jensen. Former ITV chief executive Adam Crozier, who became chairman in April, has drafted in a raft of new board members as he battles to revive the online fashion firm following two profit warnings. In addition to Mr Jensen, who heads up Ocado’s technology division, Asos has also appointed Sky’s former chief commercial and strategy officer Mai Fyfield, former Burberry executive Eugenia Ulasewicz, and Karen Geary, who has held top HR roles at Micro Focus, Wandisco and Sage Group
The owner of Paddy Power and Betfair faces a backlash from watchdogs after unveiling a £10bn merger with Sky Bet owner Stars Group. Flutter Entertainment (FLTR) proposal, which shocked investors on Wednesday morning, would create the world’s biggest online betting group. But it is likely to face fierce scrutiny from competition regulators, not least in Britain where the merger would hand the firm a 40% share of the gambling market. The Competition and Markets Authority typically opens an investigation into a merger if combined UK turnover exceeds £70m or a combination is created with a market share of 25% or more
