British American Tobacco p.l.c. $BATS (-0.05%) announced today that it will extend the term of office of Luc Jobin, Chairman of the Supervisory Board, by up to two years until the company's Annual General Meeting in April 2028. The search for a successor will continue in the meantime.
Jobin, who has served on the Board since July 2017 and became Chairman in April 2021, will exceed the maximum term of office recommended by the UK Corporate Governance Code when he completes nine years on the Board in July 2026.
According to the company, the decision was preceded by a comprehensive succession process led by outgoing Senior Independent Director Holly Keller Koeppel and the Nomination Committee with the support of external advisors.
"Luc is a proven and well-respected Chairman who will continue to effectively lead the Board and provide thoughtful input and support to management as it implements the Group's transformation agenda," Koeppel said in the press release.
The board found that extending Jobin's term "is in the best interests of BAT at this time", although this is a departure from governance recommendations. The company said the extension would remove uncertainty during the Group's transformation while providing the flexibility to appoint a suitable successor.
Koeppel, who has served on the Board since July 2017, will step down at the end of the 2026 Annual General Meeting. Assuming her re-election, Karen Guerra will assume the role of Senior Independent Director and lead the ongoing succession process for the Chair.
Jobin thanked Koeppel for her service to the Board and welcomed Guerra to her new role. Her experience will be "invaluable as the search for my successor continues".
