Paterson steps back at Abano

Alison Patersonis to remain as a director for a year. Photo / Richard Robinson

Abano Healthcare Group chairman Alison Paterson will be replaced by deputy Trevor Janes after the annual shareholders' meeting on November 7.

Paterson will remain a director for a further year "to facilitate an orderly transition", Abano said.

Paterson is due to retire at the 2012 annual meeting and has advised the board she wouldn't be seeking re-election.

Paterson joined Abano's board in 2002 and has been chairman since 2006.

Through her tenure, Abano divested its Eldercare aged care business, the company's original reason for being, in 2005 and entered the radiology, orthotics, dental and audiology businesses which now make up Abano's main operations. She led the board through two hostile takeover bids which provided a rare example of a New Zealand company successfully defending itself by clearly explaining and convincing investors of its potential.

Also during her term, Abano has returned $66.7 million in capital to shareholders from the Eldercare sale and from the sale of the relatively mature New Zealand audiology business in 2009.

The company has Australian audiology operations and is developing a greenfields audiology business in Asia.

The company also won several Deloitte/Management Magazine awards, including company of the year in 2009 and Paterson was named chairman of the year in 2010.

Janes has been on Abano's board since September 2005, has chaired the audit and risk committee since 2006 and has been deputy chairman since 2008. His other directorships include being deputy chairman of the government-owned Mighty River Power and chairman of the Public Trust.

While he was on the board of failed finance company Capital+Merchant Finance, he left 15 months before its collapse and is not among the former directors facing criminal charges and civil proceedings.

He was one of a group of businessmen, including property investor Phil Newland, who in 2009 set up LPF Group which funds litigation against companies and directors where large sums of money have been lost.

John Cairns, an analyst at Forsyth Barr, who has long covered Abano, says Janes has already made a significant contribution to Abano, through the takeover activity and in identifying the opportunities available in the audiology sector.

Abano shares are unchanged at $4.05. They have been trending lower since hitting $6.80 in September 2009.