Property ‘one-stop-shop’ Erinaceous has received a fresh blow with the departure of its head of investment.
Mark Millar joined the company when Erinaceous bought the niche investment agency Millar Kitching in November 2005 for £8.5m. Millar ran the firm along with Simon Kitching and Peter Dove, who left Erinaceous in March.
Ian Griffiths, a director in the investment team, has also left, taking the number of directors who have departed the company to 18 in the last 18 months.
The investment team will now be headed up by Marcus Perkins, who will be responsible for central London investments and working with Erinaceous partner NAI Global, and Dougie Lawson, who will focus on regional investment.
The news came as the company’s share price continued to plummet after it announced a pre-tax loss in its half year results this morning.
Auditor Deloitte also said there were ongoing worries about Erinaceous’s viability as a going concern after it revealed that breaches of banking covenants meant it will have to pay penal rates of interest to its lenders.
Shares dipped as low as 38p, a 35% drop on last night’s closing price of 58.5p, but have since staged a recovery and currently stand at 52p.
The company’s poor performance has led to shareholders demanding a management shake-up. Chief executive Neil Bellis will move into the role of deputy chairman, in charge of property transactions, while chairman Nigel Turnbull will take day-to-day control of the company.
Finance director Michael Pearson is also leaving in October.