Australian mining equipment rental company Emeco has announced a number of management changes.
The company said the restructure is aimed at supporting efforts to substantially reduce costs and focus the business in the current market environment.
Chief executive officer Ken Lewsey has decided to step down, though he will assist the board through the transition in the coming months. He joined the Emeco Group in 2013.
Current chief operating officer Ian Testrow becomes managing director and CEO, in a role that covers both CEO and COO activities.
In addition, chief financial officer Greg Hawkins becomes executive director, finance.
Chairman Alec Brennan said: “On behalf of the board, I would like to acknowledge the significant contribution that Ken Lewsey has made during his time as CEO.
“The board asked Ken to refocus Emeco on its customers, review its strategy and, given the current circumstances in the mining services industry, significantly reduce costs. He has made a major contribution in all of these areas.
“In his work leading the Project Fit cost reduction initiative it became clear to Ken that further management downsizing was required and, accordingly, he has decided that it is now time for him to step down."
Emeco’s unaudited revenue for the final quarter of 2014/15, announced last month, was A$65 million (€42.5million), a year on year increase of 21%, while the company aims to save around A$14 million (€9 million) through the Project Fit programme. Average group utilisation in the final quarter was also up at 74%.
In June, the company abandoned its proposed acquisition of road freight company Rentco and ended talks over a potential merger with heavy earthmoving equipment supplier Orionstone.