Advertisement
UK markets close in 8 hours 5 minutes
  • FTSE 100

    7,949.94
    +17.96 (+0.23%)
     
  • FTSE 250

    19,810.56
    -0.10 (-0.00%)
     
  • AIM

    742.97
    +0.86 (+0.12%)
     
  • GBP/EUR

    1.1681
    +0.0012 (+0.10%)
     
  • GBP/USD

    1.2610
    -0.0029 (-0.23%)
     
  • Bitcoin GBP

    55,952.41
    +537.38 (+0.97%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • S&P 500

    5,248.49
    +44.91 (+0.86%)
     
  • DOW

    39,760.08
    +477.75 (+1.22%)
     
  • CRUDE OIL

    81.85
    +0.50 (+0.61%)
     
  • GOLD FUTURES

    2,213.10
    +0.40 (+0.02%)
     
  • NIKKEI 225

    40,168.07
    -594.66 (-1.46%)
     
  • HANG SENG

    16,541.42
    +148.58 (+0.91%)
     
  • DAX

    18,479.53
    +2.44 (+0.01%)
     
  • CAC 40

    8,227.29
    +22.48 (+0.27%)
     

Unilever boss to retire after failed bid to buy GSK’s Haleon for £50bn

Alan jope - AP Photo/Julia Nikhinson
Alan jope - AP Photo/Julia Nikhinson

Unilever chief executive Alan Jope will retire at the end of next year after fumbling an attempt to kick-start growth at the FTSE 100 giant by failing to seal a £50bn deal with GSK.

Mr Jope will be leaving after five years in the chief executive role, Unilever said and a formal search for his successor has started. His predecessor Paul Polman had held the position for a decade.

The news of Mr Jope's retirement comes less than a year after the CEO was forced to defend an effort to convince GSK to sell its consumer healthcare arm to Unilever rather than list it in London.

The takeover bids for the business, which makes Sensodyne toothpaste, were rejected by GSK, which ultimately carved out the business as Haleon and listed it in London.

It was said to have caused a "torrent of criticism" from Unilever investors over concerns the offers were too high, raising questions over the credibility of its management team. At the time, Bernstein analyst Bruno Monteyne had said shares would be likely to perform better if Unilever's management was ousted.

Unilever shares jumped as much as 3.7pc on Monday morning following the news of Mr Jope's planned departure. They are now trading at almost exactly at the same price they were when he took over as chief executive, on January 1 2019.

Tineke Frikee, fund manager at Unilever investor Waverton Asset Management, said the announcement "may signal more welcome future change at Unilever", after the GSK consumer health plan "tainted Mr Jope’s track record somewhat".

However, one of its largest shareholders, Trian Fund Management — run by activist Nelson Peltz — said: "Trian was sorry to learn of Alan Jope’s decision to retire as chief  executive of Unilever at the end of 2023."

ADVERTISEMENT

Mr Peltz joined the board in July this year, sparking speculation that he would drive a shake-up at the business, having previously agitated for major overhauls at Procter & Gamble and Heinz.

A spokesman for Trian said: "As a board member, Trian’s chief executive Nelson Peltz looks forward to continuing to work closely with Alan until his departure and to being part of the process of choosing a new leader for the company."

Mr Peltz is understood to have been instrumental in the recent decision by Unilever to sell its Israeli Ben & Jerry's business to essentially prevent the ice cream brand from a boycott.

Ben & Jerry's had been planning to stop selling in Palestinian occupied territories, but was blocked from doing so after Unilever sold the Israel business to a local operator.

The matter is now the subject of a legal row between Unilever and Ben & Jerry's independent board, which was given decision-making powers under the 2000 takeover deal and argues it has the right to decide where to sell.