NIB Holdings (ASX:NHF) share price hits 52-week high as chairman retires

The Australian private health insurer is restructuring its board. Here are the details

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The NIB Holdings Ltd (ASX: NHF) share price hit a new 52-week high today after it announced a key restructuring of its board.

The Australian private health insurer’s shares finished the day up by 3.19% to $6.79. At one stage during intraday trade, shares were swapping hands for $6.88 — a new 52-week high.

What did NIB announce?

NIB announced the retirement of its non-executive director and chair this morning.

Steve Crane will step down from the post on 29 July. He will be succeeded by independent non-executive director David Gordon.

Gordon is a founding principal of Lexicon Partners, and is also the current chair of Accent Group Ltd (ASX: AX1). He joined the NIB board in 2020.

The new chair said he was “honoured and excited to assume the role and would like to thank Mr Crane for his extraordinary contribution to the company for over ten years”.

Furthermore, NIB announced it will appoint Peter Harmer as an independent, non-executive director. Harmer has “over 40 years experience in the Australian and international insurance and financial sectors”, according to NIB.

Speaking on Harmer’s appointment, outgoing chair Crane said:

We’re thrilled to welcome Peter to our board. He brings enormous experience as both a company director and executive. He also has an impressive track record in leading organisations through digital transformations, a big priority in the company today.

Harmer will stand for election at the 2021 annual general meeting, scheduled for November.

NIB share price snapshot

The NIB share price has climbed 14% this year to date, extending the previous 12 month’s return of 47%.

Both of these returns have outpaced the S&P / ASX 200 Index (ASX: XJO)’s return of 20% over the past year.

NIB has market capitalisation of $3 billion.

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The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended NIB Holdings Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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