New THG chair Lord Charles Allen
(Picture: THG)The former boss of ITV has been drafted in by THG to help repair the e-commerce company’s battered reputation in the City.
Lord Charles Allen, who ran the broadcaster from 2004 until 2007, has been hired as non-executive chairman following a 5-month search. He will be the first outside head of THG’s board.
An experienced board director, Lord Allen currently chairs FTSE 250 construction group Balfour Beatty and was formerly chair of record label EMI, services group ISS and chicken giant 2 Sisters Group.
Investors will be hoping he can improve communication between THG management and the City. Relations have reached breaking point in recent months amid concerns about governance, transparency on business metrics and strategy.
Shares in the former stock market darling have dropped over 80% since last summer. CEO Matt Moulding, who was chair until Lord Allen’s arrival, has blamed a conspiracy of short sellers for his company’s woes.
Lord Allen said he had “a clear mandate to improve governance and transparency,” as well as beef up the board and work with embattled CEO Matt Moulding on strategy.
“This is a fast-paced, extremely exciting business which has grown rapidly and has many opportunities for significant future growth,” he said.
“Matthew is now able to focus full-time on the business which, combined with a very strong management team and passionate committed colleagues throughout the business, ensures THG is well placed to deliver for all its stakeholders.”
Moulding said: "I am delighted that we have been able to attract someone of Charles’s calibre and reputation.
“On a personal note, his appointment will enable me to focus my attention on delivering the Group’s plans for growth."
Shares dipped 1p to 87.85p.
