SABMiller 'at risk of code violations' with changes in boardroom

The UK Corporate Governance Code recommends that a CE should not be chairman of the same company, writes Annaleigh Vallie.

SABMiller's Europe MD Alan Clark would be its chief operating officer until he succeeded Mr Mackay. Corporate affairs director Sue Clark would replace Mr Clark as MD of the European subsidiary, SABMiller said.

John Manser, senior independent nonexecutive director and chairman of the audit committee, would become deputy chairman. The changes come into effect on July 26.

Activist shareholder Theo Botha said the company might be infringing some codes. "It seems they have little confidence in Mr Clark - otherwise why would they not make him CE right away? Instead he is a CEO in transit."

Some investors and analysts had punted SAB MD Norman Adami or SABMiller Africa MD Mark Bowman as candidates for the top job.

SABMiller said it had considered the appointment of an interim chairman for the 12 months before Mr Mackay becomes nonexecutive chairman, but "concluded this would not be in the interests of SABMiller or its shareholders as this would not provide the appropriate continuity of strategic direction and oversight a group as complex as SABMiller requires" .

Source: Business Day