The CFO of digital healthcare giant Babylon is to leave the company to join flexible workspace provider IWG.

Charlie Steel will remain at Babylon for a handover period to assist successor David Humphreys, previously finance director.

Babylon, founded in the UK but now increasingly focused on global markets including the US, is scaling back in its home market as two major NHS contracts are to come to an end.

The digital healthcare company listed on the New York Stock Exchange last year in a SPAC merger but has lost more than 90% of its market cap since floating in 2021.

It recently announced cost-cutting measures of $100 million for Q3.

“I am leaving Babylon in a strong position after five years and having overseen its massive growth, including over $1bn of fundraising and listing on the New York Stock Exchange,” said Steel.

“I am proud of the team that we have built, including being able to hand the CFO role over to David, who has a wealth of experience, led the finance function through Babylon’s listing and drove our recently announced cost reduction actions. 

“I look forward to remaining a shareholder and wish [CEO] Ali [Parsa] and the rest of the business the very best in continuing this growth and delivering on Babylon’s mission.”

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Babylon recently announced year-on-year revenue growth of 460% for Q2, to $265.4m, as its US members grew by 220%. Loss for the period totalled $157.1m, compared to loss for the period of $64.9m in Q2 2021.

Prior to joining Babylon two years ago, Humphreys was US-based as a Silicon Valley and New York Partner with PwC for over 20 years, working with boards and leaders of fast-moving, rapid-growth companies including Tesla and Facebook.

“I am excited to be taking on the position of CFO and to lead Babylon through its next stage of growth as a listed company, having already led its finance function for the last two years,” he said. 

“I look forward to bringing my extensive experience of U.S. capital markets and providing financial strategic insights to boards of innovative growth companies to my role as CFO of Babylon.”