Incoming Bendigo chair David Foster
Bendigo Bank chair Jacqueline Hey yesterday triggered speculation that her role at stricken domestic air carrier Qantas could soon be upgraded after she flagged her departure from the bank next month.
As institutional and political pressure mounts on embattled Qantas chairman Richard Goyder to take flight from the discredited airline, Hey is being tipped by a few investors as a potential internal candidate to take the reins of the board.
Hey’s imminent departure from the Bendigo board might fit that narrative, with several investment analysts forecasting that Goyder will likely resign at the end of the year.
Given the demanding corporate rehabilitation required at Qantas, it would be a far-stretch for Hey to continue serving in the Bendigo gig, as well.
Several institutional shareholders told Banking Day yesterday they believed Hey was the board member most likely to succeed Goyder at Qantas, even though she chaired the remuneration committee that rubber-stamped a golden handshake worth more than $20 million to disgraced former CEO, Alan Joyce.
Bendigo notified the ASX on Monday that Hey would leave the bank after the annual meeting due to be held on 24 October.
Former Suncorp CEO David Foster, who has sat on the Bendigo board since 2019, will take over as chairman.
“It has been a privilege to serve with Jacquie on the Board and I am pleased to be appointed chair of Bendigo and Adelaide Bank.
“I look forward to building on the strong progress that has been made under Jacquie’s thoughtful stewardship and continue delivering on the Bank’s purpose.
“As chair my focus will be to prioritise sustainable growth and ensure that the Bank continues to improve its performance for the benefit of our customers, people, partners, communities and shareholders as we execute on our vision to be Australia’s bank of choice.”
Foster’s knowledge of Suncorp and his deep connections to Brisbane’s insular corporate networks make him an ideal choice to lead Bendigo’s board given its strategic agenda of wanting to forge a merger between the two banks.
He is also viewed as a “nuts and bolts” retail banker who would be inclined to resist steering Bendigo towards any transaction that was not value-accretive for shareholders.
Hey’s resignation from the Bendigo board surprised some investors, who also noted that the bank gave no specific reason for her exit.
In the ASX filing Hey described her time on the bank’s board as a career highlight and noted that she had served 12 years as a director.
“In recent years the bank has made good progress on its transformation agenda to ensure its future success,” she told the ASX.
“I’m confident these changes will ensure the Bank remains well positioned to continue delivering on its purpose of feeding into the prosperity of its customers and the community well into the future.”
Bendigo scrip outperformed most other listed banking stocks on Monday, closing up 22 cents or 2.4 per cent to $9.21.