Hostelworld (LSE:HSW), the owner of backpackers' hostels, confirmed plans for the retirement of its chairman Michael Cawley and a share buyback ahead of its annual general meeting later today.
Cawley, who has been a Hostelworld board member since 2015 and chairman since 2017, will step down in late October of this year, to be replaced by Ulrik Bengtsson.
Bengtsson will join as a non-executive director, chair designate and a member of the nomination and remuneration committees immediately after the conclusion of today’s AGM.
With experience in several C-suite roles, the incoming chairman has worked as CEO of William Hill and Betsson Group and COO of Virgin Media O2.
Departing chairman Cawley, expressed his pride in the achievements of Hostelworld (LSE:HSW), particularly the group’s ability to stay resilient in the pandemic, switching to a social network online travel agent, allowing it to grow and return to profitability.
Cawley added that the company also has plans to launch a share purchase programme in the second half of the year, aiming to “address the dilution to shareholders of shares issued in late April 2024.”
He also noted trading was moving positively and now expects the company to deliver revenue growth in line with guidance, while marketing costs are currently at the low end of management’s estimates.
In another board shakeup, the group have appointed Paul Duffy, the former chief executive and chairman of Pernod Ricard North America, as a non-executive director and chairman of the remuneration committee.
Current chair Carl Shepard will remain a member remuneration committee following Duffy joining later today.