UNDER-fire software firm Sage today took the surprise decision to promote chief financial officer Steve Hare to become its new chief executive.
Hare, who has been running the company on an interim basis after Stephen Kelly left last month, initially ruled himself out for the top job as it was understood the board wanted to implement radical change under a fresh external candidate.
But today’s appointment suggested the company only plans to tweak its current strategy. It has been trying to get corporate clients to buy software on a subscription basis, rather than one deal at a time. Hare joined Sage as its finance chief in January 2014.
Sage’s chairman is Donald Brydon, the London Stock Exchange chair who was widely criticised for his handling of chief executive Xavier Rolet there.
Brydon said while the Sage board had looked for external candidates, it had become apparent Hare was the best qualified. He praised Hare’s “early decisions and clear prioritisation”.
The UK’s biggest technology company has had a torrid year, with two profit warnings, including one in April which resulted in its biggest one-day share price fall in 25 years.
Unusually, Sage gave no details of Hare’s potential bonuses but said his salary will be £770,000.
Shares rose 19.6p to 569.9p.
