AGL Energy Limited (ASX: AGL) and its share price have been the talk of the ASX today after the company revealed its new, permanent leadership team.
Interim CEO Damien Nicks has been given the role permanently while interim chief financial officer (CFO) Gary Brown will take the reins as the company's permanent finance chief.
Sadly, however, the market appears to be reacting poorly to the news. The AGL share price is down 0.32% at the time of writing, trading at $7.675.
For comparison, the S&P/ASX 200 Index (ASX: XJO) has lifted 0.27% and the company's home sector – the S&P/ASX 200 Utilities Index (ASX: XUJ) – is down 0.2%.
Let's take a closer look at AGL's newly appointed leaders.
Image source: Getty Images
AGL share price slumps as permanent leaders appointed
The AGL share price is underperforming on Thursday as the company closes a nearly eight-month-long board and management renewal process.
The process kicked off in May 2022. Then, former chair Peter Botten and former CEO Graeme Hunt announced they, along with two other board members, would be stepping down after billionaire shareholder Mike Cannon-Brookes led the derailment of the company's planned split.
Nicks, who was previously the company's CFO, was appointed to the position of interim CEO following Hunt's departure.
On announcing Nicks' permanent appointment today, AGL chair Patricia McKenzie commented:
The board has been particularly impressed by Damien's leadership of the business, including his role in championing AGL's new strategy and his commitment, vision, and fresh approach to accelerate the energy transition and to deliver value for AGL's customers and position AGL for future growth.
Nicks' permanent position comes with a $1.4 million annual salary, inclusive of super. That could be bumped by up to 120% if short-term incentives are met.
Nicks could also receive up to 120% of his salary's value in the form of performance rights on meeting yet-to-be-approved long-term incentives.
Filling Nicks' previous role will be Brown, who started at the company this time last year expecting to be CFO of Accel Energy – the proposed AGL spin-off.
Brown has acted as AGL's interim CFO since October, leading its strategic review process.
