Unilever shares jump on new appointment

Unilever named Paul Polman, a consumer goods veteran who missed out on the top job at Swiss food group Nestle SA last year, as…

Unilever named Paul Polman, a consumer goods veteran who missed out on the top job at Swiss food group Nestle SA last year, as its new chief executive today, sending its shares surging.

Unilever, the Anglo-Dutch maker of goods ranging from Sunsilk shampoo and Hellmann's mayonnaise to Dove soap and Knorr soups, said Mr Polman (52) would replace Patrick Cescau, who turns 60 later this month, around the end of the year.

Unilever shares were up 6.1 per cent at 1,581 pence, topping the FTSE Eurofirst index of leading European shares as a result.

Mr Cescau become Unilever's first ever chief executive in April 2005 and aimed to transform the business, which had lagged sales growth at its biggest rivals, by slashing jobs and selling low-growth businesses.

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His success was thrown into question in July when the group reported that price rises had slowed sales growth in the second quarter, sending its shares tumbling.

Mr Polman joined Nestle in 2006 as chief financial officer. Widely tipped as a successor to Nestle Chief Executive Peter Brabeck-Letmathe, Mr Polman missed out when the world's biggest food group picked former Americas head Paul Bulcke instead last September.