easyJet Chairman to step down this summer

Sir Mike Rake, the Chairman of budget airline easyJet, is to step down from the board this summer, the company said on Monday morning.

Sir Mike Rake, the Chairman of budget airline easyJet, is to step down from the board this summer, the company said on Monday morning.

In a press release that confirmed earlier weekend reports, easyJet said that Rake has agreed to stay in his post until a successor is found to ensure a smooth hand over. The board has already started looking for a new Chairman.

The move comes after three years of high-profile public arguments between management and easyJet founder Sir Stelios Haji-Ioannou about how the company is run. These battles culminated last week in Stelios threatening to sell part of his stake if the board goes ahead with plans to buy new aircraft.

Stelios, who had previously attempted to oust Rake as Chairman and failed, voiced his concern over the company's expansion plans in an open letter published on January 21st, accusing directors of "squandering" cash on new planes.

Unsurprisingly, the company made no mention of this confrontation on Monday.

Commenting on his departure, Rake said: "In advance of the forthcoming AGM I wanted to make my position clear.easyJet has by any definition enjoyed a period of success and profitable growth in the last three years. As this takes the airline to the threshold of entry to the FTSE 100 it is the right time for me to stand down.

"It has been a tremendous experience to chair easyJet over the last three years. easyJet is a dynamic and successful company in a vitally important sector for the European economy," he said.

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

The rising dollar is proving bad news for most other assets – will it last?
Investment strategy

The rising dollar is proving bad news for most other assets – will it last?

Precious metals, stocks and pretty much every other asset has taken a tumble as the US dollar strengthens. Dominic Frisby looks at how long this trend…
23 Sep 2020
The electric-car bubble could get an awful lot bigger from here
Renewables

The electric-car bubble could get an awful lot bigger from here

The switch to electric cars is driving a huge investment bubble. But that’s not necessarily a bad thing, says John Stepek. Fortunes will be made and l…
24 Sep 2020
Why you should stuff your end-of-pandemic portfolio with Chinese stocks
China stockmarkets

Why you should stuff your end-of-pandemic portfolio with Chinese stocks

For an end-of-pandemic portfolio, you need assets that can cope with today’s volatility. And that, says Merryn Somerset Webb, means Chinese stocks.
14 Sep 2020