Muir out, Paul Simmons in as Hill & Smith CEO

The FTSE 250 company added that, after an “extensive” search process, Paul Simmons had been appointed to succeed Muir.

He would join Hill & Smith as chief executive officer designate, and as a member of the board on 1 September, and would work closely with Muir to ensure a smooth hand over of responsibilities.

The board said Simmons joined Halma in 2010, and was most recently chief executive of that company’s infrastructure safety and process safety sectors.

In the year ended 31 March 2019, those two sectors reported revenue and adjusted operating profit of £606m and £134m, respectively.

Prior to Halma, Simmons spent nine years at 3M, leading businesses in the UK and the United States.

The board said he had a degree in production engineering.

“I am delighted that we have been able to attract someone of Paul's calibre to succeed Derek,” said chairman Alan Giddins.

“His time at Halma has given him experience of strategic thinking, operating with a clear sector focus and in a decentralised business model with organic growth enhanced through strategic acquisitions.

“This experience and outlook makes him uniquely well positioned to take on the chief executive role at Hill & Smith.”

Giddins said the board had thought “very carefully” about succession, and ensuring an effective hand over of responsibilities.

“By having Derek continue to lead the group through the current period of market turbulence, while allowing Paul the time to be immersed in the business and take responsibility for the 2021 budget process, I am confident that we will achieve this.

“Finally, I would like to thank Derek for everything he has done for Hill & Smith over the last 33 years.

“He has been an outstanding chief executive, and someone with whom I have hugely enjoyed working.”

Derek Muir said it had been a “fantastic journey”, adding that he felt “enormously privileged” to have led a business with “immense” growth potential and “exceptional” people.

“After almost 33 years with the group - 14 of those as chief executive - I am delighted that suitable succession arrangements have now been put in place to enable me to begin to hand over the reins.

“Whilst we currently face unprecedented challenges resulting from Covid-19, Hill & Smith has undergone considerable transformation during the last decade and it is in excellent shape to meet those challenges.

“I look forward to working with Paul during the handover period to ensure a seamless transition.”

Finally, Paul Simmons said he was “proud and delighted” to have been asked to succeed Derek.

“Hill & Smith is an outstanding business, with a very clear strategy and operating model, and as the economic impact of the virus eventually abates I believe the business is extremely well placed for a very exciting future.

“I look forward to leading the group through the next stage of its development.”

At 0816 BST, shares in Hill & Smith Holdings were down 0.21% at 947.98p.