Marks and Spencer Group PLC (LSE:MKS) shareholders can relax: Archie Norman is not going anywhere just yet.
The retailer has decided to extend the chairman’s tenure for another three years beyond 2026, a move that Shore Capital calls “good news for all stakeholders”.
The decision, led by senior independent director Fiona Dawson after consultation with shareholders, means Norman will stay in post until at least 2029, subject to annual review.
It breaks with the usual nine-year guideline for listed company chairs, but the board said it was “unanimous in its conviction” that his continuation was in the company’s best interests.
ShoreCap's analysts, led by Clive Black, welcomed the decision, describing Norman as “hugely well-respected” and praising his role in transforming M&S since taking over in 2017.
They argue that stepping down purely to “tick a governance box” would have been unhelpful given the progress under chief executive Stuart Machin and the close working relationship between the two.
Norman’s tenure has spanned Brexit disruption, the pandemic and more recent cyberattacks, but the group has emerged leaner and stronger.
ShoreCap points to a “genuine transformation in reputation, operating performance and financial output” during his leadership.
M&S is in its close period ahead of half-year results on 5 November, followed by a capital markets day a week later.
Forecasts suggest adjusted pre-tax profit of about £600 million this year, rising towards £1 billion by 2027.
The shares were flat at 399p.