Cyber security firm CEO resigns after losses
The chief executive of Bradford-based cyber security service provider ECSC Group has resigned less than a month after the company posted significant losses.
Ian Mann has stepped down from his role as CEO and as a director of the AIM-listed company but “remains fully committed to the business” as a major shareholder and as a full-time employee.
The business has also unveiled a number of new board changes, including Stephen Hammell moving from finance director to become the new CEO and Nigel Payne stepping down as non-executive chairman and being replaced by David Mathewson.
The board reshuffle comes merely weeks after ECSC, which floated on the AIM market of the London Stock Exchange in December 2016, published a disappointing set of financial results for the 12-month period to 31 December 2017.
The company reported lower than expected revenue growth and fell into the red with an operating loss of almost £3.2m after experiencing a number of challenges.
ECSC said the business has still not developed the necessary momentum to deliver long-term shareholder value and that a change of chief executive is required, as well as an increased level of involvement from the non-executive board members.
Chairman David Mathewson and non-executive director Stephen Vaughan said: “We believe that the changes outlined will help provide the necessary support to the executives in reviewing the business and making the changes required to embrace the market potential in which both of us remain confident.”
Commenting on his departure from the board, Payne added: “I remain of the view that ECSC can be a successful growth company in an exciting sector.
“It is however clear to me that steering the company through this challenging course will require a chairman who has more time to provide to the business than I have available.
“I have therefore agreed with my colleagues that the business would be better chaired by an experienced chairman who, with increased non-executive time, will provide the support the executive team need.”
Established in 2000, ECSC describes itself as the UK’s longest running ‘full service’ information and cyber security service provider.
It works with a range of sectors including education, retail, legal, financial and local authorities and its client list ranges from eCommerce start-ups to global organisations.