The controversial London-listed company which ?is the subject of a £600m-plus legal claim over a business it sold to an Australian rival will this week appoint its general counsel as its next boss.
Sky News understands that? Stefan Borson will replace Indro Mukerjee as the chief executive of Watchstone Group – previously known as Quindell – at the end of the year.
The management handover at Watchstone, which specialises in technology for the insurance industry, will come after a period of relative calm for the company.
It appointed a City heavyweight in the form of Richard Rose as its chairman, and sources said the company would announce the appointment of Mr Borson as its new boss ahead of its annual meeting on Tuesday.
“As Indro enters the final phase of his planned work with Watchstone, this is part of a smooth transition process to a new chief executive,” one insider said.
Mr Mukerjee has run the AIM-listed Watchstone for less than two years, and has said he will continue to seek to sell, split or spin off its remaining operating divisions, before paving the way for his successor to return the proceeds to shareholders.
An insider said that Mr Mukerjee had succeeded in stabilising the business and dealing with a vast range of legacy issues.
His management oversaw the return of £414m of capital to Watchstone’s shareholders in November 2015, increased revenues in its underlying businesses and significantly cut losses.
However, Slater & Gordon, the Australian law firm which bought what was then Quindell’s biggest operating division, has launched legal proceedings aimed at recouping more than £635m.
Watchstone intends to file a defence against the Slater & Gordon claim in the coming weeks.
Under its former boss, Rob Terry, Quindell became one of the most notorious companies on the London stock market, eventually attracting the attention of the Serious Fraud Office – which continues to investigate it.
?One source said the appointment of Watchstone’s legal chief as its new boss could indicate its confidence in its ability to defend the claim successfully.
A spokesman declined to comment on the impending appointment of Mr Borson.
Source: SKY News