Vistry’s chief operating officer has left the company, days after the firm was forced to address “concerns” over Greg Fitzgerald’s dual positions as chair and chief executive.
Earl Sibley – who joined the business in April 2015 – will leave Vistry at the end of 2024 after his role was removed from the company structure, the homebuilder said in a statement this morning (20 November).
“Earl has elected to leave the company due to the removal of his current role of COO,” the statement said. Removing the role will “reduce the length of reporting lines and ensures closer proximity of the CEO to the business”, it added.
Sibley (pictured) has already stepped down as a director with immediate effect and “will support a seamless and orderly transition of his responsibilities”, the firm said.
Two days before the announcement of Sibley’s departure, Vistry addressed concerns about Greg Fitzgerald’s reappointment as CEO in the firm’s May AGM, when he was made executive chairman as well.
The move proved unpopular, with more than a fifth of shareholders voting against his reelection at the AGM.
“The Board understands that the primary concerns from some shareholders was in relation to the combination of the role of the CEO and Chair, which was a departure from the UK Corporate Governance Code,” Vistry stated on 18 November.
The firm added that it recognised “the importance of maintaining independent oversight in board leadership positions” – and had elected Met Office chair Rob Woodward as a senior independent director to “provide additional oversight on governance matters”.
The Financial Reporting Council’s Corporate Governance Code applies to London Stock Exchange-listed companies such as Vistry. The code, revised in January this year, states: “A chief executive should not become chair of the same company.”
In response to Sibley’s departure, Fitzgerald said he had been “an integral part of our operational and executive team”.
“His leadership and contribution have been significant in helping to establish Vistry as a leading housebuilding and partnerships business,” he added, saying that they had worked together since Fitzgerald joined Bovis Homes in 2017.
Bovis Homes and Linden Homes merged in 2020 to form Vistry.
By noon on Wednesday, Vistry’s share price had fallen by 6.5 per cent to 627p. Over the last six months, its share value has fallen by 52 per cent.
Earlier this month, the firm reduced its profit forecast for the second time this year, blaming “understated costs” on 18 sites in the south of England. Overall, it has decreased its forecast profit by £165m for the next three years.
In response to the combination of Fitzgerald’s role as CEO and chair, analysts said it would “probably be forgiven” if he delivered financially on the deal to buy Countryside, which was confirmed in 2022.
