Alstom CEO Poupart-Lafarge says he will not run for another term

Alstom CEO Henri Poupart Lafarge has announced that he will not run for a fourth term at the head of the French rail manufacturer and instead plans to retire in 2027 when his current mandate ends.

Alstom has declined to comment about the reasons for its decision.

The company announced in a press release that its board of directors had begun a search for a new CEO. Poupart-Lafarge will continue to lead Alstom until 2027's annual general meeting, and the appointment of his successor.

Alstom appointed a new chairman and CFO in the last two years, as the company sought to recover from the Bombardier deal. The acquisition brought with it problematic contracts that contributed to cash flow problems.

James Moore, an analyst at Redburn Atlantic, said that it was time for a new guard to replace CFO Bernard Delpit with Chairman Philippe Petitcolin. Moore also predicted that Poupart-Lafarge would be replaced by someone outside of the company.

The group announced that it had completed its deleveraging plan as well as the integration of Bombardier Rail's business in its Wednesday full-year results.

Alstom shares rose nearly 4% during the morning session. (Reporting and editing by Milla Nissi Prussak, Joe Bavier, and Anna Peverieri from Gdansk)

(source: Reuters)