Erinaceous puts former chief executive on gardening leave

by Richard Kilner

Story link: Erinaceous puts former chief executive on gardening leave

Erinaceous Group has put two of its senior staff members on gardening leave whilst the board negotiates the precise terms of their resignations, which could be announced as soon as next week.

Deputy chairman Neil Bellis and chief operating officer Lucy Cummings were both put on leave in the wake of a board meeting one week ago.

Shareholders have sustained a campaign to remove Bellis, who is also the firm’s former CEO, led by major shareholder Fursa, which has a 19% stake in Erinaceous Group.

Last week Tim Redburn was named as a temporary chief executive, at the same time the firm warned that the results for the year would fall significantly short of expectations.

Further back, in September, the firm made it known that it had breached the terms of its debt covenants.

Towergate has been linked with the firm, and has, over recent months, recruited 20 senior staff members of Erinaceous Group, including sales director Wayne Todge and insurance chiefs Andy Halstead, Nick Crocker, Ashley Canning.

A review of the company’s operations will be undertaken by Close Brothers, who have been appointed as the firm’s financial advisor.

Dominic Lavelle has recently been named as the new finance director.

Over the last 12 months the firm’s share price has plunged by more than 90%, and now stand at around 20p.