New Look has appointed John Gildersleeve as its chairman ahead of an expected flotation of the company next year.
The surprise appointment of the Tesco veteran, who is also chairman of Carphone Warehouse, at the helm of the budget fashion retailer has resulted in the departure of Phil Wrigley, who had spent nine years at the company.
Mr Wrigley was promoted to chairman last year, a move that saw Carl McPhail take over as chief executive.
The decision to name a boardroom heavyweight has been intrepreted as a clear sign that Apax Partners and Permira, the retailer’s private equity owners, will pursue a listing of the business at some point next year. This week it appointed Credit Suisse, Deutsche Bank and JPMorgan Cazenove as advisers.
The timing of any flotation, which could value the fast-growing business at £1.7 billion, is still in question ahead of the crucial Christmas trading period, although Mr Gildersleeve’s appointment suggests that a listing is on the cards.
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A previous attempt to float New Look, which operates 1,000 stores in more than 30 countries, failed in 2007.
Mr Gildersleeve has previously been chairman of music company EMI and cigarette maker Gallaher and has also held board positions at Vodafone and Lloyds TSB. He remains a non-executive at British Land.
He said that New Look has “exciting growth potential, both in the UK and abroad”.
Nick Coulter, an analyst at Numis Securities, said the decision to appoint Mr Gildersleeve appeared to be a sensible move: “This is a good, solid appointment of a retail grandee.”
Mr McPhail said: “This announcement marks part of a planned transition in the next phase of New Look’s development.
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“On behalf of the board, I would like to thank Phil for his significant and valued contribution over the past nine years.”