Wood plc (LON: WG) has appointed a new CEO to replace the outgoing Robin Watson.
From July 1, Ken Gilmartin will take the top job with Mr Watson remaining in an advisory role until September 30.
Mr Gilmartin is currently chief operating officer at Wood, appointed in August of 2021 following 15 years with Dallas-headquartered engineering firm Jacobs.
Wood said his appointment follows an “extensive selection process” which considered internal and external candidates.
Mr Gilmartin has held a variety of senior roles through his career, most recently as executive vice president of Jacobs’ People and Places business, responsible for more than half of the group’s portfolio.
As the new CEO of Wood, he will command a base salary of £750,000 per year with a maximum annual bonus of 175% of base salary.
He will also be entitled to a variety of other benefits and pension, as well as a gross allowance of £150,000 to assist with relocating to the UK.
Mr Gilmartin said: “I joined Wood because I could see the great potential in the company, knowing the value of the skills and expertise required to deliver complex and critical projects, operations, and consultancy solutions. In my short time with the business, I have been impressed by the quality of our people, and the strength of our culture and our client relationships, which provide strong foundations on which to build in the years ahead.
“I believe we have an exciting future in front of us as we capture growth opportunities in energy security and sustainability and deliver value for our shareholders over the medium term.”
Robin Watson announced in April that he would step down as CEO following seven years in the role and a decade on the board.
His decision has been timed alongside the “milestone” deal to sell Wood’s built environment business, agreed for $1.6bn with WSP last month.
Mr Watson said: “After ten years on the board of Wood and having reached an agreement for the sale of our Built Environment business, I am pleased that Ken will now lead the company into its next phase.
“I wish Ken and everyone at Wood all the best and a very bright future”.
“I will work with Robin on a seamless transition and thank him for the guidance he has given me over the last nine months”.
Mr Gilmartin joins as Wood has been seeking to recover from continuing pressures of the pandemic seen during 2021 and mixed market conditions, while focusing ahead on opportunities linked to the net zero push.
Wood chairman Roy Franklin said Mr Gilmartin has “impressed the board” over the last nine months with his “strong client-centric mindset” and his “drive to lead the development of Wood’s future strategy”.
He added: “The Board believes he is a great fit for Wood, with the combination of skills and experience to lead the business through its next strategic phase.
“On behalf of the Board, I thank Robin for his many years of service to the company and wish him all the best in his retirement.”
According to Wood’s website, the company employs 40,000 people globally.
In its 2021 annual results, the group posted revenues of $6.4bn, down 15% on 2020, while net debt grew by 18% to $1.8bn.
Pre-tax losses for the London-listed group were reduced from $148.6m in 2020 to $80m in 2021.