M&G boss Foley to step down after 22 years
THE boss of M&G is stepping down after 22 years, including seven as the firm’s chief executive.
John Foley will leave the FTSE 100 savings and investments giant once a successor has been found, a process that could take up to a year.
The 65-year-old joined Prudential in 2000 – a year after it bought M&G – and was made chief executive of M&G in 2015.
He oversaw the merger of M&G with Prudential’s UK insurance business in 2017 and the 2019 demerger of the enlarged M&G from the rest of Prudential when it decided to focus on Asia and Africa.
Shares in M&G – which looks after £370bn of savers’ money and is one of the largest fund managers in Britain – are little changed since the time of the demerger. The M&G board, led by chairman Edward Braham, is on the hunt for a successor who can boost the company’s fortunes.
Foley, who earned £4.5m last year and has been paid almost £30m since taking the helm, said it was a ‘privilege’ to spend 22 years at the firm and hailed its successful transition to becoming an independent company.
The married father, who has £15.7m of M&G shares, said: ‘M&G has reached an inflection point and has strong momentum in its strategic progress. It is now a good time to begin the search for a new chief executive to lead M&G during the next phase of its development.
‘I look forward to continuing to serve as chief executive until my successor is in place and I remain fully committed to our business delivery.’
Braham said: ‘John has led M&G through significant change and overseen a successful demerger, while steering the group through the unprecedented events of the pandemic.
‘The business has performed strongly, returning £1.8bn to shareholders since listing in October 2019.’ In its most recent results M&G said it has generated £2.8bn of cash for investors since its split from Prudential. It has delivered a total return for its investors of 30pc, or £1.8bn, since the demerger.
M&G last month announced a bumper £500m share buyback after its assets under management grew in 2021 by 0.8pc to £370bn. It reported profits of £721m, which was lower than the £788m it earned in 2020.
It saw M&G shares rocket up 15pc on the day.
Yesterday they were up 0.5pc, or 1p, at 212.1p, leaving them a little below the 218p they started trading at following the demerger from the Pru.