MUMBAI: Alain de Pouzilhac, chairman and CEO of French advertising company Havas, has resigned.

According to agency reports, de Pouzilhac's departure was followed by a meeting of the Havas' board in Paris, the first of such a gathering of the company's management since he lost a battle with rival Vincent Bollore, Havas' single-largest shareholder who has more than a 20 per cent stake in the company.

de Pouzilhac yesterday proposed to the board of directors a period of transition prior to the installation of a new chairman and chief executive officer. During this transitional period Richard F. Colker, an independent director of ten years' standing and chairman of the audit committee, will exercise the functions of chairman and CEO, backed by a team of three directors: Ed Eskandarian, Fernando Rodés, Jacques Séguéla, who will take responsibility for the group's executive functions.

The board of directors in turn approved the proposal and have brought to an end Alain de Pouzilhac's term of office as Chairman and CEO of Havas. de Pouzilhac will continue to serve as a member of the BOD and to give the group the benefit of his advice and counsel.
The board will convene again in the near future in order to
consider ways of involving Havas’ employees in the Group's development by means of new equity-based schemes, such as stock-options, bonus shares or other plans.

 
 
Martin Gollner analyst Bryan Garnier has earlier said that Havas' (HAVS) turnaround in short-term would be unlikely if CEO Alain de Pouzilhac resigned. He was of the view that the current valuation of Havas already reflected the group's turnaround and that a strategic sale would seem unlikely in the short term.