Richard Balfour-Lynn, the founder of MWB Group Holdings, London, is stepping down as CEO of the company, effective March 31.
MWB, founded by Balfour-Lynn in 1982 as Warwick Balfour Properties, is the parent company of lifestyle hotel companies Malmaison and Hotel du Vin.
“I will remain a committed and supportive shareholder and have every confidence in both the board of MWB Group and the management teams to take the group to the next stage of its development,” said Balfour-Lynn in a statement to the press.
The move comes amid continued discord between Balfour-Lynn and Pyrrho Investment, Hong Kong, which is the largest investor in MWB. Pyrrho praised Balfour-Lynn’s departure.
“During his tenure at MWB, Mr Balfour-Lynn presided over a massive and unacceptable destruction of shareholder value since late 2009 when we first invested in the company, with the share price falling more than £0.75 (US$1.18) in the past year alone,” Pyrrho said in a stock market announcement.
Pyrrho may look to inject more equity into MWB to help it refinance.