Mining gear maker Metso picks CEO from Finnair
HELSINKI, May 21 (Reuters) – Finnish engineering company Metso said on Monday it had picked Finnair CEO Pekka Vauramo as its new chief executive officer.
Vauramo is expected to bring stability to the business following the surprise departure of the previous CEO Nico Delvaux after less than a year in the job.
Vauramo helped Finnair return to growth after years of losses, and he also has worked for rival engineering group Sandvik. He is due to start in November.
"Pekka Vauramo has a proven track record in leading businesses facing competitive global markets, and he has long and extensive experience in the mining industry and in an international business environment," said Metso chairman Mikael Lilius.
Metso, a maker of grinding mills and crushers for mining companies as well as valves and pumps for the oil and gas industry, has been battling tough market conditions due to spending cuts by miners and uncertainty over growth in top metals consumer China.
However, in the first quarter, Metso beat analysts' profit expectations on the back of strong demand from India, China and North America.
The Finnish state is the largest owner in Metso and Finnair. Metso had sales of 2.7 billion euros ($3.17 billion) last year, while Finnair generated a revenue of 2.6 billion euros.
Shares in both companies were flat after the announcement. Finnair said it will start the search for a new CEO today. ($1 = 0.8530 euros) (Reporting by Jussi Rosendahl, editing by Louise Heavens)