Why has Chip Hornsby left Wolseley? Here are some possible answers …
It would take three or four months to find a new chief exec for a company like Wolseley.
So it’s arguably no coincidence that it was three or four months ago Wolseley went cap in hand to investors to fund a £1bn rights issue.
“Here’s your money,” the big institutions could well have begun, “now what are we getting in return?”
The head of Chip Hornsby could well be the answer – replaced as he was “with immediate effect” this week by former Alliance UniChem boss Ian Meakins. Chairman John Whybrow has denied there was investor pressure but Wolseley isn’t exaclty a “hire ‘em fire ‘em” type company - it has had two finance directors in something like 30 years.
Hornsby, described by one analyst as “an American but modest”, carried on the spending spree at the top of the market began by predecessor Charlie Banks that saw the building materials giant run into financial trouble earlier this year.
“A first class logistics man but a questionable strategic thinker”, was how another described him.
Either way he has left his job – a move the share price shows was broadly welcomed in City circles.
Read the rest of this article in Tom Bill's blog.
