AGL Energy (ASX:AGL) has just announced a change to its board.
AGL Energy today announce key changes in relation to the renewal of its Board and management as it prepares to announce the outcomes of its review of strategic director and confirm guidance later this month as planned.
Chairman Peter Botten AC has decided to step down from the Board, and current Board member Patricia McKenzie will replace him as Chair, effective today.
Ms McKenzie is currently the Chair of NSW Ports and the Sydney Desalination Plant group companies.
In addition, former Chair of the Clean Energy Council and adviser to the AEMC and AEMO on the energy transition, Miles George will join the Board from today as an Independent Non-Executive Director. This appointment follows an externally facilitated search for a director experienced in renewable energy project delivery.
Shares of AGL Energy have risen 1.291% following the announcement.
Any change in the make-up of a company?s board can have an impact on a company?s stock price.
Generally, age-related turnovers and voluntary resignations have a marginal impact on the share price.
However, when either the Chairman or another board member is ousted, this can have a significant impact on the stock price.
As the role of the board is to endorse the strategy of the business, changes to the board can have an impact on the strategic direction of the company and therefore it?s future profitability.