Mr Philip Lynch is to become chairman of agribusiness group, IAWS, after 20 years as chief executive.

Mr Lynch, who is aged 57, will be replaced as chief executive by by the group's chief operating officer, Mr Owen Killian.

He will take up the chairmanship upon the departure of Mr James Moloney, who is retiring.

Mr Lynch said yesterday that he was honoured to take on his new role and hoped the move would represent a "seamless transition" for the company.

He said he planned to "stand back" from the firm as much as he could so that Mr Killian could put his stamp on its growing operations.

Mr Lynch said he planned to use his additional free time getting to know his neighbours and the "treasures of Kildare", where he lives.

He said he had not considered private investment opportunities but would be careful to avoid conflict with his existing interests if such opportunities arose.

As well as maintaining a substantial presence in the Republic, IAWS is active in the UK, US, Canada and continental Europe.

The firm has drawn most of its recent success from its food division, which includes a bakery joint venture in North America with fast-food chain Wendy's and the Cuisine de France brand in the Republic.

Mr Lynch is likely to continue in his roles as chairman of Bord Bia and director of Irish Life & Permanent, Heiton and FBD.

He also sits on the board of John Thompson and Sons, a feed manufacturer based in Belfast.

Mr Lynch joined IAWS in 1983 from R&H Hall, which he subsequently moved to acquire.

His tenure at the helm of IAWS has seen the firm grow consistently in both the domestic and international markets.

The company floated in Dublin and London in 1988 and has since seen pre-tax profits (before exceptionals) grow from €5.6 million to €70.3 million though a mixture of organic development and acquisition.

Shares in IAWS dropped nine cents to close at €8.20 after Mr Lynch's departure was announced, but the shift came on very light trade.