Networking equipment maker Alcatel-Lucent has announced the team that will replace its chairman and chief executive, who were both ousted at the end of July.
The job of salvaging the troubled business has fallen to Ben Verwaayen, the former chief executive of BT, along with Philippe Camus, senior partner at French media group Lagardere. It is a return to familiar ground for Verwaayen, who worked for Lucent as vice president of international operations before leaving to join BT in 2001.
Verwaayen will be chief executive while Camus will serve as non-executive chairman. The two replace former chief executive Patricia Russo and former chairman Serge Tchuruk who were axed after a series of profit and sales warnings.
"The company operates in a quickly changing market and therefore is evolving. I'm truly delighted to become the chief executive of Alcatel-Lucent, leading a company with vast assets and great talents, while recognising the difficulties and challenges ahead," said Verwaayen.
"Alcatel-Lucent is an undisputed worldwide leader in the telecoms industry. Our top priority with the board will be to bring full support to Ben Verwaayen in his new mission," added Camus.
Alcatel-Lucent, the world's biggest provider of fixed-line telecoms networks, has seen its market value drop more than 60 per cent in the last 21 months.
"The appointment comes quicker than what the market had expected. The stock has recently been rising on hopes of a new management team capable of a turnaround," one trader said.
"The board reacted swiftly. They found a chief executive who has a good international experience and in the telecoms sector. Camus will be a truly non-executive chairman, so conflicts seen in the past are more unlikely to repeat themselves," said Exane BNP Paribas analyst Alexander Peterc.
Camus will keep his position at Lagardere, the company said.
