Advertising mogul Lord Saatchi quit the agency that bears his name in protest at what he saw as his co-founders’ refusal to submit to new leadership and scrutiny, despite serious accounting failures that have plunged it into a deep crisis. The 73-year-old was part of a push to overhaul the boardroom at M&C Saatchi (SAA) that ended on Tuesday night with his resignation, along with the company’s three independent non-executive directors. Insiders told The Telegraph that the walkout was triggered by the refusal of M&C Saatchi co-founders Jeremy Sinclair, Bill Muirhead and David Kershaw to accept new supervision or a rapid investigation of accounting practices.
Billionaire Virgin tycoon Sir Richard Branson has shared in a £42m payday from running now-axed train services. Virgin Group and Stagecoach Group (SGC), founded by transport magnates Sir Richard and Sir Brian Souter, collected the bumper dividend in the 12 months to March – their last full year operating the West Coast main line. The payouts, revealed in accounts filed with Companies House this week, come as the duo relinquish their grip on the after more than two decades in charge. Sir Brian, who founded Stagecoach in 1980, on Wednesday announced he is stepping down as chairman. He and his family are the largest shareholder in the transport operator.
Embattled investor Mark Barnett has been fired from running the £1.3bn Edinburgh Inv Trust (EDIN) due to poor performance. Investment trusts, unlike open-ended funds, have independent boards that can hand assets to another company if it sees fit. Mark Barnett, who works for American fund house Invesco, has run the trust since 2014 after taking over from his mentor and colleague Neil Woodford. He ran the investments in the same style as his predecessor, aiming to provide a growing income by investing in undervalued British companies known as “value stocks, with a preference for smaller businesses.
Ousted Superdry (SDRY) boss Euan Sutherland is to take charge of over-50s travel and insurance firm Saga (SAGA) as it battles to recover from a share price slump. He will take over on Jan 6 following the retirement of chief executive Lance Batchelor, who will stay on as a director until the end of next month. Mr Sutherland left ailing fashion retailer Superdry in April in a boardroom coup when investors handed control back to the company’s founder Julian Dunkerton. He was previously head of the Co-Operative Group, where some colleagues branded him “Pol Pot” because they felt he had tried to revolutionise the business too quickly.
Questor: H&T Group (HAT) has endured four months of ups and downs. What should investors do? Questor share tip: strong results and an opportunistic acquisition were followed by a review of lending practices that could lead to ‘redress’ payments
