Cleanaway CEO and Managing Director Vik Bansal is stepping down as part of an orderly leadership transition.
According to an ASX statement, Bansal has been with the company as CEO since August 2015, and given his tenure at Cleanaway, the Board and Bansal have been discussing succession planning for some time.
“The Board and Bansal mutually agreed that it is the right time for Cleanaway to move forward under new leadership,” the statement reads.
Cleanaway Chairman Mark Chellew thanked Bansal for his contribution in achieving a significant turnaround of Cleanaway over his period as CEO.
“Bansal has led Cleanaway’s transformation and growth with enormous dedication, and it shows in the company’s financial results,” he said.
“We thank him for his service and wish him all the very best for the future.”
During Bansal’s tender, the company delivered total shareholder returns of approximately 300 per cent compared to the benchmark S&P/ASX200 Index of around 58 per cent.
At the same time, earning per share grew 21.8 per cent on a compound annual growth rate basis and the market capitalisation of Cleanaway increased more than fivefold to $5 billion.
“I am extremely proud of the transformation of Cleanaway into Australia’s leading waste management business,” Bansal said.
“We have created significant value for shareholders through refocusing the business, consolidating under one brand, successfully integrating the ToxFree acquisition, and targeted investment in the best-in-class infrastructure, facilities, and extending our participation in the waste value chain.
“It is pleasing to leave Cleanaway extremely well positioned, with a good management team for further growth and success.”
Bansal will deliver the Interim FY21 results, which are scheduled to be handed down on 19 February and will remain available to assist the Board with the leadership transition.
Chellew will take on additional duties as Executive Chair while a search for a permanent CEO replacement is conducted.
CFO Brendan Gill will delay his retirement and stay on in the role of Chief Operating Officer to support Chellew and incoming CFO Paul Binfield in the period prior to the transition to a new CEO.