BP has removed chairman Albert Manifold, citing governance issues within the company. The decision, announced by the oil giant's board, sent shares tumbling 10% in trading.
Why the board acted
The company offered few details on the specific governance problems that led to Manifold's ouster. He had served as chairman since 2020, and his removal marks a significant shake-up at the top of the energy major. The board's move signals deep concerns over how the company is being overseen.
Market reaction
Investors reacted sharply. BP's stock dropped 10% on the news, wiping billions off the company's market value. The sell-off reflects uncertainty about what the governance issues mean for BP's strategy and leadership going forward. No further guidance has been issued by the company.
What comes next for BP's board
The board is now without a chairman. BP has not announced a successor or an interim replacement. The company has also not elaborated on whether Manifold's removal is linked to any specific operational or financial matter. The board will likely need to move quickly to name a new chairman to restore investor confidence, but no timeline has been given.
