(Reuters) Scor shares rise after surprise management shake-up

For the original publication, please click here.

Shares in Scor (SCOR.PA) jumped on Tuesday after the French reinsurer appointed insider Laurent Rousseau as its new chief executive in an unexpected shift in succession plans after Denis Kessler's decision to step down ahead of time.

Shares in Scor were up 3.3% at 1407 GMT, paring earlier gains.

The group said late on Monday that Rousseau, currently deputy chief executive of the company's Scor Global P&C division, would take the top job instead of Benoit Ribadeau-Dumas, who was hired as deputy CEO at the start of January.

Kessler, who has been at the helm as chairman and CEO for almost two decades, was due to relinquish the chief executive position in 2022 but will now do so on June 30.

The company said Kessler was stepping down for personal reasons.

Benoit Ribadeau-Dumas, a former political adviser who has had senior roles at the likes of French multinational Thales (TCFP.PA), had been lined up to become CEO after Kessler's previously planned 2022 departure.

"The conditions are not met for Benoit Ribadeau-Dumas, who had not worked in the insurance or reinsurance sector before joining the group, to take up the position of chief executive officer in June," the French reinsurer said.

Investment firm CIAM, which owns about 1% of Scor and has led a long battle to oust Kessler from his chairmanship, raised concerns over the selection process of candidates and independence of the newly appointed CEO.

"CIAM wonders why Laurent Rousseau was not instead appointed interim CEO, alongside Benoit Ribadeau-Dumas (...) to allow for an efficient transition," CIAM Chief Executive Catherine Berjal said in a statement.