Boral appoint new CEO and managing director
Zlatko Todorcevski to succeed Mike Kane as Boral’s new chief executive officer and managing director
BORAL Ltd today announced that Zlatko Todorcevski has been appointed as chief executive officer and managing director, effective 1 July 2020. This will allow a transition period with Boral’s current CEO and managing director, Mike Kane, who will retire from Boral in September 2020.
Mr Todorcevski (pictured) has 30 years of experience in Australia and internationally in steel building products, oil and gas, and logistics, working in finance, business planning and strategy roles.
Since March 2017, he has been on the board of construction materials company Adelaide Brighton Ltd, where he served in the capacity of chairman and, since May 2019, as deputy chairman and lead independent director. He will step down from the Adelaide Brighton board immediately.
He is also on the board of Coles Group Ltd and The Star Entertainment Group Ltd, and will transition off those boards over the coming months.
Boral’s chairman of the board, Kathryn Fagg, said that after an extensive search for a new CEO, Mr Todorcevski had proven to be an outstanding candidate.
‘With exceptional commercial acumen, strategic insight and a focus on return on capital, Zlatko has a strong track record as a senior executive in a number of large industrial and energy companies with international operations,’ she said.
‘His experience in leading major transformations, including business turnarounds as well as in capital allocation and strategic portfolio management, are critically important for Boral.
‘Zlatko’s mandate as Boral’s CEO is at the outset to set a clear operational plan, including how to manage through the current challenging conditions, and to work with the board to finalize the review of the operational performance and strategic positioning of the businesses within Boral’s portfolio. He will then deliver a strategy to strengthen the financial performance of the company and to improve returns for our shareholders.’
She added: ‘The board appreciates Mike Kane supporting Zlatko’s transition into the role, which will provide him with an opportunity to quickly understand the issues and assess the operational and strategic priorities within each division, focusing initially on Boral North America. We thank Mike for his leadership and for building a safer, more innovative, more resilient and better-positioned business today than at the time that he joined the company.’
Mr Todorcevski said: ‘It’s a great honour to be appointed as Boral’s next CEO and managing director. I see my job as helping to shape Boral’s future and ensuring that a company with such a proud 75-year history and heritage continues to thrive and prosper for many years into the future.
‘This is a great, iconic Australian company with an excellent brand, a committed and passionate workforce, strong market positions, and solid underlying business fundamentals. But, it is fair to say that in recent times, the company has not performed in line with the market’s or the board’s expectations.
‘Boral have the potential to perform at a higher level and to be recognized as a great business, which is what attracted me to the position in the first place. My brief is straightforward: to use my strategic and commercial expertise and knowledge of the sector to strengthen the business so that we are delivering attractive returns for our shareholders, doing a great job for our customers, and ensuring we run a safe and sustainable company for our people and the communities in which we operate.’
He added: ‘As the board made clear to me through the selection process, there are no sacred cows when it comes to our strategy and our portfolio. We will spend the next few months working on how to refocus Boral to deliver for our customers, our people and shareholders.
‘These are tough times for all organizations – the economic impacts of the COVID 19 pandemic are still to fully play out. As COVID 19 lockdowns ease in our key markets, we need to be sure that Boral are well placed to take advantage of opportunities currently in the pipeline or created through stimulus activities, and to emerge as a strong business ready to grow and deliver acceptable returns.’