Serco Share News (SRP)

(Sharecast News) - Serco said on Monday that chief executive Mark Irwin plans to retire and step down from the role on 28 February after 12 years with the outsourcer.

Anthony Kirby, currently CEO of UK & Europe, the group's largest division, has been appointed chief executive designate and will succeed Irwin from 1 March.

Irwin will continue to serve as a strategic adviser through a transition period.

Kirby said: "It is an honour to be selected to lead this amazing company, of which I have been a part for seven years. Serco is in good shape, with great people and an exciting future.

"I am confident we can continue to build on our strategy, strengthen our position further and provide outstanding solutions, helping customers around the world deliver superb public services. I want to thank Mark for his leadership and offer him my best wishes for the future."

Serco chair John Rishton said: "I would like to thank Mark for his commitment, dedication, and hard work over the last 12 years and, in particular, during his time as group chief executive and wish him well in his future.

"I am delighted that Anthony is taking on the role of group chief executive. Since we attracted Anthony from Compass Group, he has been part of our internal succession planning. During this time he has held a number of critical roles at Serco, including being group chief operating officer and successfully leading the UK & Europe business. The board is confident that Anthony has the skills, determination and leadership attributes to deliver against our strategy."

At 1000 GMT, the shares were down 1.9% at 147p.

Russ Mould, investment director at AJ Bell, said: "Serco's chief executive Mark Irwin is leaving after only two years in the job. His predecessor Rupert Soames did a brilliant job turning around the company and Irwin kept things ticking over, but to leave after such a short time seems odd.

"The share price is essentially at the same level as when he took the top job and the fact his replacement Anthony Kirby was already part of Serco's succession planning implies that Irwin might have been too safe a pair of hands.

"It will be interesting to see the scale of Kirby's ambitions and whether he has bold plans to take Serco to the next level."