Rothschild heads for the exit at Genel

Nat Rothschild today followed ex-BP chief Tony Hayward out of the door of the oil company they founded together.

The financier will step down as a non-executive director of Kurdish oil firm Genel Energy at tomorrow’s annual general meeting, which will also be chairman Hayward’s last day.

Genel has suffered from the crude oil price plunge, oil reserves downgrades, and delayed export payments from the Kurdistan government, which is fighting Islamic State.

The company started out as a cash shell called Vallares before buying Turkey-based Genel Energi in 2011 for £2.5 billion.

Before the oil price collapsed, the company was worth more than £3 billion, but its value has since dwindled to just £270 million. It mirrored troubles at the other shell company created by Rothschild, which became Indonesian coal miner Bumi Resources.

“Nat contributed greatly to Genel’s development as both a founder and subsequently a non-executive director,” Hayward said.

“Despite a challenging external environment, the company has made significant progress during his involvement.”