CEO Succession at Rogers Communications Important for Long Term

Dec. 2.08 | About: Rogers Communications (RCI)

Calling the death of Rogers Communications Inc. (NYSE:RCI) founder and former CEO, Ted Rogers, the loss of a visionary, UBS analyst Jeffrey Fan said there will unlikely be any disruptions perceived by the market in the near term. However, he told clients that how this void is filled and how the controlling shareholder/family trust and management interact will be important issues longer term for investors.

The analyst expects the company’s new CEO to come from the Office of the President, which consisted of Mr. Rogers, chairman and acting CEO Alan Horn, CFO Bill Linton and COO Nadir Mohamed.

Mr. Fan said:

On ownership succession, Mr. Rogers had indicated that control would be maintained in a family trust with Edward Rogers being the controlling shareholder for two years after his death.