Albert Manifold has resigned as chairman of British Petroleum (BP) with immediate effect after only eight months in the role. The company cited “serious concerns” raised to the board regarding “important governance standards, oversight and conduct,” though it did not elaborate on the specifics.
Manifold’s exit is the latest in a series of leadership changes at the London-based energy giant. Three years ago, CEO Bernard Looney was fired for lying about personal relationships with colleagues. Manifold’s successor as CEO, Murray Auchincloss, left abruptly in December, with no clear reason given.
The board unanimously decided that Manifold, who had the backing of activist hedge fund Elliott (which holds about a 5% stake in BP), should no longer serve as chair and director. “This follows serious concerns raised to the board related to important governance standards, oversight and conduct,” BP said in a statement.
“Albert has helped bring a welcome focus and pace to BP’s transformation. However, the board has been surprised and disappointed to learn of governance oversight and conduct issues it deems unacceptable and has taken decisive action,” said senior independent director Amanda Blanc.
A BP spokesperson declined to provide further details. Reuters was unable to immediately reach Manifold for comment. Elliott also declined to comment.
Manifold, who had no prior experience in the energy industry, previously served as CEO of building materials producer CRH, where he reshaped the portfolio and moved its primary listing from Ireland to the US, boosting the share price. His appointment at BP came after years of underperformance compared to rivals.
Under Manifold, BP’s board shrank. Shell finance chief Simon Henry, who joined only in September, was among those who left. At BP’s annual general meeting in April, the board failed to pass two resolutions, and Manifold’s appointment as chair received less support than typical, with about 82% of votes in favor.
BP’s stock fell 4.2% in US markets and 4.4% on the London Stock Exchange following news of Manifold’s removal.
Source: www.aljazeera.com