(Alliance News) - American hedge fund and activist investor Elliott Advisors said it would back the appointment of former Persimmon boss Dave Jenkinson as chief executive officer at FTSE 100 housebuilder Taylor Wimpey PLC, The Times reported Thursday.
In December, Taylor Wimpey announced that current CEO Pete Redfern would step down after 14 years in the role, with effect when a suitable candidate has been found and a handover process completed.
According to sources, Jenkinson, the former CEO of peer Persimmon PLC, was one of the names given by Elliott when pressed for potential examples of replacements.
Jenkinson had been part of Persimmon for 22 years, and was appointed CEO in 2019, but was replaced by Dean Finch in June 2020.
Days after Redfern announced his resignation from Taylor Wimpey, Elliott had published a letter attacking his poor decisions, and urged the company to win back its lost credibility.
"With the recent resignation of the CEO following reports of Elliott's involvement, the company has taken an important first step toward the change that Taylor Wimpey needs to restore this lost confidence.
"However, the board now finds itself at a critical juncture: To remedy its long-term underperformance and regain credibility with investors, the board's process to find a new CEO must be transparent and thorough; it must focus on external candidates who have not been a party to the underperformance to date; and it must be accompanied by governance enhancements to support the new CEO with the right kind of operational experience and expertise," Elliott stated.
Another name raised was Peter Truscott, currently CEO at FTSE 250 housebuilder Crest Nicholson Holdings PLC, as well as Steven Boyes, deputy chief executive at Barratt Developments PLC.
https://www.thetimes.co.uk/article/elliott-advisors-favours-as-taylor-wimpey-chief-executive-l3h07l5b0
Shares in Taylor Wimpey closed 2.0% lower at 174.40 pence on Thursday in London.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Crest Nicholson (CRST)
Barratt Developments (BDEV)
Persimmon (PSN)
Taylor Wimpey (TW.)