Biggest care home chain finds new chief from its own board
Oct 5 2007 by Graeme King, The Journal
THE UK’s biggest care home operator Southern Cross has announced the appointment of a new chief executive to take over from Philip Scott.
Southern Cross, based in Darlington, will be led by current chairman Bill Colvin from January 1 after Mr Scott said he wanted to step down to pursue personal interests.
The company said yesterday that the outgoing chief executive had a young family and after 20 years in the healthcare business, wanted to step back to spend more time with his children.
Meanwhile, a trading statement from Southern Cross showed the company continuing to grow at an impressive rate and with plans to add another 1,200 beds in 2008.
The company runs 712 homes with a total of 36,215 beds after acquisitions in recent years.
It has increased its bed total by 25% in the past year. On a day-to-day basis, Southern Cross said its occupancy rate had risen to 92.3% from 91.6% last year.
And with the business currently having only 8% market share in the UK, Southern Cross is still expecting further consolidation in the care home sector. The board thanked Mr Scott for his contribution to Southern Cross over five years in which the company has expanded rapidly.
To replace Mr Colvin as chairman, the company has appointed senior independent director Ray Miles. A new non-executive director will be appointed in the next few months to make up a full board.
Mr Miles said: “We are delighted that Bill has accepted the role of chief executive at this exciting time in Southern Cross’s development.
“We are confident his knowledge of the healthcare services market will help drive the company’s growth strategy forward. We are very grateful to Philip for his contribution and leadership and wish him well with his future plans.”
Bill Colvin was previously chief executive of NHP, a care home property investment group, before its sale to Blackstone in 2005.
Southern Cross said yesterday Mr Colvin had “contributed substantially” to the success of Southern Cross in the past two years as chairman, so was well placed to lead the management team.
