Carillion has revealed a shake-up of its senior team after its finance director stepped down

 
Emma Haslett
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Finance director Zafar Khan stepped down with immediate effect (Source: Carillion)

Carillion shares fell this morning after it revealed finance chief Zafar Khan stepped down with immediate effect, and said it planned to shake up its senior team.

Shares in the construction giant opened six per cent lower after it said a raft of other senior staff had announced plans to step down, including chief operating officer Richard Howson; Adam Green, the managing director of its construction services arm; Nigel Taylor, the managing director of its services arm, and group strategy director Shaun Carter.

Howson will depart at the end of the month after making a surprise return shortly after quitting as Carillion's chief executive.

Emma Mercer will become chief financial officer with immediate effect. Mercer has held several roles at the company, including as finance director of its UK construction business, and as chief financial officer and senior vice president of its Canadian arm.

Carillion is also making several other personnel changes, appointing Lee Watson, who is on secondment from EY, as its chief transformation officer, as well as hiring the current boss of its Canadian arm as its chief operating officer.

It is understood the changes are the first stage of interim chief executive Keith Cochrane plans to turn round the fortunes of the firm.

The shake-up follows a torrid summer: in July 40 per cent - roughly £350m - was knocked off the value of the company in one day, with shares sinking to their lowest since 2000 after it warned on profits.

Later that week, it drafted in EY to undertake a strategic review, saying it hoped to reduce average borrowing, cut costs, and an increased focus on managing working capital and finding ways to recover cash it's owed.

Read more: Carillion shares pop after snaring £300m confidence building contract

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