LogiCamms sets sights on growth with leadership shake-up
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Special Report: Engineering consulting and services firm LogiCamms is taking another leap in its growth strategy following the merger with OSD with a leadership shake-up and new long-term incentive plan.
Since completing the acquisition of fellow engineering and operations services provider OSD in June 2019, LogiCamms (ASX:LCM) has been busy integrating OSD and realising the resulting merger synergies. With the integration almost complete, LogiCamms is shifting its attention towards capitalising on new opportunities presented by the merger and delivering long-term growth for shareholders.
As a result, LogiCamms has implemented a handful of leadership changes to better position itself for future growth and adjust to the changing market environment.
Chief among those changes is CEO Chris O’Neill resigning and being replaced by incoming managing director Linton Burns.
O’Neill was appointed to the top job in November 2018 and since then has been busy turning around LogiCamms’ performance, which finally bore fruit last week when the company reported positive FY20 results. Following the release of these results, O’Neill has decided to take a break before seeking other business opportunities. In recognition for his tireless work and thanks for his contribution, LogiCamms’ board decided to waive the normal notice period.
Commenting on the change, LogiCamms chairman Phillip Campbell said: “I first met Chris when I took over the role of Chair at the end of February and in this time, I have grown to respect his tenacity, good cheer and determination to build customer goodwill and satisfaction while also seeking to restore shareholder value. I personally wish him the best of luck in his next role.”
Burns was the previous managing director of OSD, where he initially instigated the merger. OSD saw 40% revenue growth and 200% earnings growth during his four-year tenure prior to the merge. Burns also managed the integration of OSD and LogiCamms’ management systems including a new ERP system that will offer a cost-efficient platform for future expansion.
Burns brings close to 12 years’ industry experience and a strong commercial acumen to Logicamms. He has also held senior leadership positions at a number of ASX and Nasdaq companies where he led many corporate transactions.
The former OSD founder and executive chairman Brian O’Sullivan, who was a key driver in the successful merger with LogiCamms, is also getting a new role. Now that the merger is close to complete, O’Sullivan will transition from his executive director position into a non-executive role in order to pursue special projects within the company and develop new opportunities.
He’ll also serve as a development advisor to LogiCamms, and will be joined by another new hire, non-executive director Zeljko, who joined on September 1.
“I am looking forward to taking a step back from day-to-day executive management and am passionate about spending more time developing opportunities for LogiCamms to reach the next phase of its growth strategy,” said O’Sullivan.
The other major shakeup is a new long-term incentive plan (LTI) for LogiCamms’ directors, which is in the finalisation stage. The new LTI will look to reward the company’s managing director, chief financial officer and senior executives for consistently growing shareholder wealth year-on-year. The LTI will be put up for a shareholder vote at the company’s next AGM.
This article was developed in collaboration with LogiCamms, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions