De La Rue traders push billionaire Rothschild as chairman

Leading City traders in De La Rue, the ailing banknote printer, are pushing for it to put in the billionaire financier Nat Rothschild as its subsequent chairman.

Sky News has learnt that quite a lot of establishments have been arguing for Mr Rothschild, who has led a profitable turnaround of the listed industrials group Volex, to be appointed as Kevin Loosemore’s successor.

City sources confirmed on Wednesday that De La Rue, whose prospects embody the Bank of England, had held discussions in latest weeks with the scion of the eponymous banking dynasty.

However, it was unclear whether or not he had determined to withdraw from the recruitment course of.

Mr Rothschild turned a distinguished and at occasions controversial determine within the City after he floated two automobiles which went on to amass abroad pure assets corporations.

Under his stewardship, nevertheless, shares in Volex have multiplied greater than threefold, and the corporate now has a market worth of effectively over £400m.

Other contenders for the function are mentioned to incorporate Clive Whiley, the Mothercare chairman, whereas Paul Forman, former chief government of the filters producer Essentra, can be understood to have been approached.

The seek for a brand new chairman was precipitated by a risk from Crystal Amber, one in every of De La Rue’s greatest traders, to hunt Mr Loosemore’s ousting by requisitioning a rare basic assembly final month.

Crystal Amber nominated Pepijn Dinandt, an industrialist, as his successor, though an individual near the banknote printer mentioned he was unlikely to get the job.

Earlier this month, De La Rue issued an announcement to say it had begun interviewing potential candidates, describing it as “a fast-track process, supported by a search firm”.

“Interviews have taken place with a range of candidates who have come forward with the support of shareholders and partners, as well as from search activities,” it instructed the inventory trade.

“We are not yet at the stage of making a final appointment but are progressing candidates through the final stage of our process.

“These candidates have robust backgrounds in related conditions.”

De La Rue has performed appallingly in recent years, issuing a string of profit warnings, encountering operational problems in a number of key international markets, and paying its top executives packages which have faced heavy criticism from investors.

Many shareholders believe De La Rue is vulnerable to a low-ball takeover offer, with the likes of American rival Crane NXT frequently touted as a potential bidder.

The London-listed company has seen its shares slump by two-thirds over the last year, and now has a market value of just £80m.

It raised £100m from a share sale in July 2020.

Last month, Sky News revealed that De La Rue had requested respiratory area from its pension trustees by delaying almost £20m of retirement funding funds.

Controversially, it additionally criticised its auditor, EY, for together with a going concern warning in its accounts.

A spokesman for De La Rue didn’t reply to a request for remark, whereas Mr Rothschild couldn’t be reached for remark.