Kier Living boss resigns, pushing group share price lower ahead of half-year results
The UK construction services and property group saw its share price tumble more than 15% after the head of Kier Living resigned ahead of the group's interim results on Thursday.
Kier Group saw Nick Moore, managing director of its Kier Living unit, resign last week, prompting the stock to close 15% lower on Friday, with its share price continuing its descent on Monday, down 6%.
The UK construction services and property group is set to unveil its half-year results on Thursday, with Moore's resignation coming after less than seven months at the helm giving investors cause for concern.
Kier Group is trading at 104p a share as of 15:15 (GMT) on Monday.
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Kier continues to lower costs
The company told investors in its January trading update that it continues to make good progress with respect to its office closures, the outsourcing of certain functions and a reduction in headcount.
Kier Group expects to reduce its headcount by around 1200 employees by 30 June 2020 and annual costs savings of at least £60 million in the financial year ending 30 June 2021.
A key component in delivering that cost savings target will be the successful sale of Kier Living, its residential housebuilding business, with the group also reviewing options for its property unit.
‘The work to re-shape the Group continues through the careful execution of our strategic priorities and efforts to significantly reduce the Group's cost base,’ Kier Group chief executive officer (CEO) Andrew Davies said. ‘The Group is performing in line with our expectations and we continue to win work from our customers.’
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