Domino’s chair steps down after activist fund grabs slice of company
The chair of Domino’s Pizza is set to step down before the end of the year, following the appointment of an aggressive US hedge fund to the board of the company.
The company said today that Stephen Hemsley had decided to step down from the board with effect from 29 December.
Senior independent director Ian Bull with step into the role of interim chairman until a permanent replacement is appointed.
Read more: Domino’s Pizza UK to quit international markets
Chief executive David Wild announced plans to step down in August after a troubled period for the company which has been at odds with its franchisees and burned by an unsuccessful expansion beyond the UK.
Last month, Usman Nabi, managing director of Los Angeles-based hedge fund Browning West joined the company’s board as a non-executive director.
Browning West recently bought a 6.5 per cent stake in the company.
Once a new chair is appointed, they will help with the recruitment of a new chief executive.
Read more: Domino’s suffers big dip in shares as it warns on international sales
Hemsley said: “It has been a privilege to play a part in the growth of Domino’s to the brand it has become today, working alongside our talented colleagues and franchisees.
“After 21 years in the business, now is the right time for me to step back and focus on other interests. Domino’s is well-positioned for future growth, and I wish it every success in the future.”
Hemsley joined Domino’s in 1998 and has seen it through its 1999 float on London’s junior Aim market and its growth in market capitalisation from £25m to almost £1.5bn and from 100 UK stores to over 1,250 stores spanning the UK, the Republic of Ireland and other international markets.