WPP Investors Encouraged To Oust New CEO Roberto Quarta

WPP Investors Encouraged To Oust New CEO Roberto Quarta
SHARE
THIS



Global advisory group, Glass Lewis, is publicly encouraging WPP investors to oust chairman and new CEO Roberto Quarta.

Glass Lewis is citing its “severe reservations” of Quarta as its reasoning following the way the ad giant has handled the exit of former WPP CEO Sir Martin Sorrell.

Quarta replaced Sorrell as CEO after his resignation in April.

According to The Guardian, Glass Lewis is pointing to WPP’s failure to release the outcome of the investigation into Sorrell’s “personal misconduct” – which prompted his resignation – as evidence of foul play by Quarta and the company.

The lack of publishing has meant Sorrell has been able to walk away from WPP as a “good leaver”, omitting any details of unsavoury actions.

On top of this, Glass Lewis has suggested WPP investors discard the company’s recent pay report, which indicated Sorrell’s salary had been cut by upwards of 70 per cent from 2016 to 2017.

Glass Lewis also went on to criticise Quarta’s handling of Sorrell’s departure.

“We harbour concerns as to the transparency and efficacy of the succession process,” said Glass Lewis.

“Despite previous assurances, we believe the nomination committee has failed to adequately prepare for the replacement of Sir Martin.

“Our concerns are heightened by the opaque nature of the investigation into Sir Martin [and] his ‘good leaver’ status.

“Absent further information regarding Sir Martin’s retirement, we believe shareholders are unable to determine the extent to which he should be treated as a ‘good leaver’.”

Meanwhile, many news sites are also encouraging WPP to be more transparent about Sorrell’s exit from the company.

A recent opinion piece on The Financial Review, written by Simon Dawson, claims Sorrell’s resignation has been “cloaked in secrecy” adding the move “fuels curiosity and justifies disapproval”.

Dawson adds, “If the board is gagged for legal reasons beyond its control, it should say so. Otherwise, it should be more forthcoming.

“The board says allegations against Sir Martin did not involve material amounts. For a group with a market worth of £16.5 billion this is unhelpfully vague.”

Sorrell resigned from WPP in mid-April having founded the ad giant in 1985 after buying a majority stake in the company when it was called ‘Wire Plastics and Products pls’.

Please login with linkedin to comment

martin sorrell roberto quarta WPP

Latest News

Is B2B Marketing Missing Its Emotional Touch?
  • Media

Is B2B Marketing Missing Its Emotional Touch?

B2B marketers could learn a thing or two from their B2C colleagues, argues WP Engine VP APAC sales Mark Randall in this guest post. It surprises me how many B2B organisations are not quite hitting the mark when it comes to reaching their audience. When talking directly to businesses, many brands are missing an opportunity […]

Opinion

by B&T Magazine

B&T Magazine
Burger King Trials Reusable Packaging
  • Media

Burger King Trials Reusable Packaging

Here's a top initiative from Burger King that does kinda sound like a slightly tedious Craig Reucassel documentary.

by B&T Magazine

B&T Magazine
Smarter Use Of Art & Science Stretch Auto Budgets Further
  • Media

Smarter Use Of Art & Science Stretch Auto Budgets Further

The majority of adverts uploaded to Facebook aren’t created for Facebook as its priority. This is causing huge inefficiencies and poor performance for brands, many of whom are facing up to shrinking budgets. Tom Phillips (main photo) managing director at Connecting Plots shares lessons from 12 campaigns they optimised for auto brands… It’s no secret […]

Opinion

by B&T Magazine

B&T Magazine
Young Guns Take The Lead With The First PRIA University Mentoring Program In NSW
  • Media

Young Guns Take The Lead With The First PRIA University Mentoring Program In NSW

On Wednesday, 21 October 2020, the PR industry was bolstered by the launch of the Public Relations Institute of Australia’s (PRIA) first University Mentoring Program in New South Wales, adapting the traditional face-to-face program to a virtual format for the first time. In collaboration with the University of Technology Sydney (UTS), the PRIA NSW Young […]

JCDecaux Teams Up With MyPayNow To Serve Real-Time Data
  • Media

JCDecaux Teams Up With MyPayNow To Serve Real-Time Data

JCDecaux has developed a dynamic digital campaign with live timetable data where commuters can access their money from MyPayNow while waiting for the bus. In an exclusive nationwide Out-Of-Home campaign, JCDecaux’s SMARTFRAME digital assets are broadcasting bus arrival times, letting commuters know how far away their next bus is – and just how easy it […]

Rokt Secures $US80M Series D Investment Round
  • Technology

Rokt Secures $US80M Series D Investment Round

Rokt has today announced an investment of US$80M. The capital will help accelerate research & development and support the expansion of its client base into new verticals and geographies as Rokt continues to make e-commerce smarter, faster, and better. The funding round was led by Rokt’s largest institutional shareholder TDM Growth Partners , and supported […]

Nature Invests In New Team Members And Innovation
  • Marketing

Nature Invests In New Team Members And Innovation

Leading strategic insights consultancy Nature today announced it has hired several key new team members and restructured senior roles to increase its focus on innovation, including new technology and data sources.

PayPal And Buy From The Bush Launch New Marketplace
  • Media

PayPal And Buy From The Bush Launch New Marketplace

PayPal Australia and Buy From The Bush have joined forces to launch a new online marketplace to showcase rural Australian small businesses in time for Christmas. The expanded partnership aims to build stronger connections between bush businesses and Australians in cities and suburbs across the country. The new Buy From The Bush Marketplace is an […]

Wednesday TV Wrap: Gruen Takes A 200K Hit
  • Media

Wednesday TV Wrap: Gruen Takes A 200K Hit

Gruen plummets 200,000 viewers in just one week. However, that's not to say Highway Patrol went up a similar amount.

by B&T Magazine

B&T Magazine
Philippe Krakowsky Named New IPG CEO
  • Advertising
  • Media

Philippe Krakowsky Named New IPG CEO

Philippe "Crackers" Krakowsky named new IPG global CEO. However, says he only uses Crackers on less formal occasions.