(Reuters) -Britain’s Kier Group said on Tuesday that its CEO Andrew Davies would be stepping down after more than six years in the role, and named insider Stuart Togwell as his successor.
Shares in the infrastructure and construction group, which have fallen almost 50% during Davies’ tenure, dropped 5.6% in early trade.
Togwell, the head of Kier’s construction business, will assume the company’s top role with effect from November 1, 2025. Togwell joined the company in 2019 and took up the role of heading the construction business in December 2022.
Davies was appointed as CEO in 2019, and he undertook a strategic review to cut debt and boost operations by selling its housebuilding unit and cutting over 1,000 jobs.
“Although some investors may be disappointed by (Davies’) departure, they will likely welcome (Togwell’s) appointment, given his deep industry experience and impressive track record at Kier,” Peel Hunt analyst Andrew Nussey said in a note.
Kier Group said it expects annual revenue and profit to be higher than last year.
($1 = 0.7423 pounds)
(Reporting by Unnamalai L in Bengaluru; Editing by Mrigank Dhaniwala and Rashmi Aich)
