Cavendish scraps co-chief executive regime as it swings to loss

Cavendish has ended its co-chief executive arrangement as part of an overhaul after reporting a pre-tax loss for the six months to September. The Aim-listed investment bank is cutting costs and scrapping its interim dividend as weaker dealmaking and subdued markets put pressure on its business.

The group lost nearly £500,000, compared with a £1 million profit a year earlier, while revenue fell 20 per cent to £22.9 million and deal fees dropped to £12.4 million. Cavendish plans to reduce annual costs by £3 million over the next six months, with about £2 million expected from employee changes. Julian Morse will remain sole chief executive; John Farrugia is leaving the role and board. Morse said the firm has a healthy pipeline, including potential IPOs, for the coming year.