Lund resigns as Clondalkin MD for health reasons

Clondalkin Group, the print and packaging group, has announced a number of board changes, including the resignation of its managing director, Mr Henry Lund, for health reasons.

Mr Lund, who takes over the non-executive chairmanship from Mr Domhnall McCullough on May 1st, has steered Clondalkin on a path of strong growth since the company moved out of paper making 15 years ago. He will be replaced by Mr Norbert McDermott who will become chief executive. Mr McDermott, who joined Clondalkin in 1980 has been acting as development director and was closely involved in the group's acquisitions and expansion in Europe.

Mr Lund, aged 56, who has been managing director over the past 20 years had a heart attack two years ago. This was followed by by-pass surgery. "I off-loaded a lot of work at that stage" he told The Irish Times. Since then the group made management changes to strengthen its organisation which culminated in the board changes. Clondalkin, he said, has a tried and tested formula of growing its core operations and of acquisitions. Mr Lund was responsible for expanding the group outside Ireland which now accounts for only 10 per cent of sales. Since 1978, when he joined the group as managing director, Clondalkin's market capitalisation has risen from £5 million to more than £300 million.

Since Clondalkin exited the paper making industry earnings per share have grown by 24 per cent compound per annum. Mr McCullough noted that the group's share price has increased by a factor of 50 times compared to 14 times for the Irish Stock Exchange index. The shares have risen from 550p to a high of 790p in the past 12 months. Mr Lund owns 478,847 shares which are valued at £3.6 million (at a price of 750p).