Big Motoring World has appointed retail turnaround specialist Fraser Pearce as non-executive chairman as part of a board reshuffle following the business’ recent High Court battle with founder and majority shareholder Peter Waddell.
Laurence Vaughan has relinquished the chairmanship but remains chief executive of the used car supermarket group, meaning there is no change to its operational leadership.
Vaughan joined Big Motoring World as executive chairman in 2022 before taking over as chief executive when Waddell was removed from the role in 2024.
Pearce who is is also chairman at the Trafford Centre indoor shopping and leisure complex in Greater Manchester brings extensive experience in restructuring, investment and turnaround situations across the retail, hospitality and consumer sectors. Big Motoring World described Pearce as having “a strong record of helping businesses to manage the priorities of all stakeholders”.
Board changes follow court ruling
The appointment forms part of a wider review of Big Motoring World’s governance arrangements. James Cartwright of private equity investor Freshstream has replaced Reza Fardad on the board, while David Thomson has been appointed as a non-executive director.
Commenting on the appointment, Vaughan said: “I’d like to welcome the new members of the board, and I very much look forward to their support as we continue to build the leading UK car supermarket.”
Big Motoring World added that there would be no changes to the operational management of the group
The changes come less than two weeks after Mr Justice Marcus Smith handed down judgment in Waddell’s long-running legal dispute with Freshstream and Big Motoring World.
Waddell founded Big Motoring World in the 1980s and remained chief executive and majority shareholder after Freshstream acquired a minority interest in 2022 and granted an option to acquire majority control at an agreed price.
The High Court upheld Peter Waddell Holdco’s unfair prejudice petition, finding that Freshstream had pursued a “pre-conceived and orchestrated plan” to secure permanent control of Big Motoring World and remove Waddell without exercising its option to acquire his remaining shares.
The court also found that Fardad and Vaughan had breached their duties as directors in connection with Waddell’s removal.
Waddell dismissal justified
The High Court held that the investigation notice and material default notice used during the process were invalid, while concluding separately that Waddell’s conduct ultimately justified his dismissal.
The judge found that his conduct amounted to gross misconduct sufficient to justify dismissal without notice, making the overall judgment a split outcome for the two sides.
The court will determine the remedy arising from the successful unfair prejudice petition in early November which could mean compensation, share purchase order or other form of redress.
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