Telecom Eireann's new chief financial officer is to receive an annual remuneration package of around £200,000, it has emerged. The State telecoms company, which is floating in June, said yesterday it had appointed Mr Malcom Fallen (39) to the post.
Mr Fallen has been working in British Biotech, an Oxford-based publicly quoted company since 1997. He previously worked in British Telecom as finance director, personal communications.
Mr Fallen was born in Britain and holds an MA in economics from Queen's College Cambridge. An associate chartered accountant, he is expected to play an integral role in the run-up to the flotation, which is expected to raise in excess of £2 billion when 35 per cent of the company is sold.
Mr Fallen will succeed Mr Tony Flynn, who has held the position since 1984. Mr Flynn is to become group finance development director.
Commenting on Mr Fallen's appointment yesterday, Telecom's chief executive, Mr Alfie Kane, said it came at a crucial time in the company's development. "He [Mr Fallen] has considerable public company experience and a strong knowledge of the telecoms sector following his time with British Telecom," he said.
Mr Kane added that he was sure Mr Fallen would make a very valuable contribution to the future success of the company.
Mr Fallen, who takes up the appointment next month, is currently working for a company with a chequered history. British Biotech, once heralded as the standard-bearer of the British biotechnology industry, has seen its share price plummet from 145p sterling to 17p in the last year.
Three years ago the stock was trading at £3. The company has been developing an anti-cancer drug called marimastat, but its effectiveness was said to have been over-promoted. The company has gone through a major management reshuffle in recent months.
Mr Fallen, who joined British Biotech in September 1997, is said to have made a very strong impression on the Telecom interview panel. He has worked for several companies, including accountants Arthur Andersen & Co, Philips and Drew, Bowater Plc and Polly Peck International.
Polly Peck, a British-based conglomerate, collapsed in 1990 with debts of £80 million. Its chairman, Mr Asil Nadir, was due to stand trial on fraud charges in Britain, but fled to northern Cyprus.