Key personnel leave APB after Heineken takeover

Key personnel leave APB after Heineken takeover
By Conrad Raj, TODAY | Posted: 04 January 2013 1005 hrs
     
SINGAPORE: A spate of resignations among top personnel has hit Asia Pacific Breweries (APB) following its complete takeover by Heineken of the Netherlands, the world's third-largest beer maker.

APB, which makes Tiger Beer, was the subject of a fierce takeover battle last year between Heineken and Thai Beverage, with the Dutch brewer eventually emerging victorious. Heineken forked out S$5.6 billion to buy the rest of APB from its joint venture partner Fraser and Neave to secure an asset which will help it exploit the fast growth in Asia's beer market.

Among those who have left or have given notice is Mr Christopher Kidd, APB's Regional Director for Indo-China, its most profitable division. He joined APB in 1994. Others include Mr Leslie Buckley, Regional Director for South-east Asia/Oceania excluding Singapore, who joined the company in 1995, and Group Finance Director Loy Juat Boey, who has been with APB since 1987. Also gone is public relations head Sarah Koh.

The first three were among the best-paid senior managers at APB, according to the company's annual report, along with Chief Executive Roland Pirmez, Mr Vivek Chhabra, Regional Director (South Asia)/Director (Group Business Development), and Mr Bennett Neo, Regional Director for the Singapore cluster and Cambodia. Mr Neo will soon take over Mr Chhabra's South Asia portfolio of Sri Lanka.

Mr Kidd and Mr Buckley earned between S$1.25 million and S$1.5 million in the company's last financial year, according to the annual report, while Ms Loy was in the S$1-million to S$1.25-million range.

While no official reason has been given for their departure, the talk among insiders is that there has been some unhappiness with the new management style since the takeover, with changes to reporting lines and final decisions being taken at Heineken's Netherlands headquarters.

"We appear to have lost our independence and creativity as reporting is now done on a functional basis to superiors in the Netherlands," remarked an ex-insider.

Mr Kidd, 55, is said by people familiar with the situation to have been miffed when Mr Pirmez took over his portfolio as Regional Director for Indo-China.

Heineken said in reply to queries from TODAY: "We would like to stress the fact that the business is strong and that the members of APB's leadership team, who we know well, are doing a good job." Heineken also said that those who left "are not the top four executives" but that they are members of a leadership team comprising 15 people.

"Ms Sarah Koh and Mr Chris Kidd have decided to leave the company and pursue their careers outside the company. We respect their decisions and highly value their long-standing contribution to build and grow the business. Yet it is not on us to comment on personal choices," Heineken told TODAY.

The company also said that Ms Loy has taken early retirement and her portfolio has been taken over by Mr Kenneth Choo, who is also Director, Regional Finance and Business Development, of Heineken Asia Pacific.

While a search for a new corporate relations director is on, Mr Michael Dickstein from Heineken HQ will do the job in the interim.

Asked if more management changes were on the way, Heineken said: "Management changes are part of the ongoing business in any operation and we usually treat such changes in a very sensitive way."

Meanwhile, the integration process which Heineken initiated upon taking over is expected to be completed by the end of next month. This includes Heineken giving up its office at Novena Square to move to either Alexandra Point, where APB's HQ is located, or to its brewery at Tuas.

- TODAY

- wong chee tat :)