Raimon Land CEO Nigel Cornick Resigns

The battered Thai residential development market has claimed its first causality with high profile Chief Executive Officer and Executive Director Nigel Cornick tendering his resignation. A replacement has been announced with Hubert Viriot from Raimon's major Middle East shareholder IFA being appointed to lead the company. With sales flattening in the luxury condominium market it caters to and an over reliance on foreign buyers who have been hit hard by the continued global downturn, the group has substantial surplus units at The Heights Phuket, The River, Northpoint and a number of other projects.

IFA which is currently experiencing issues in its own backyard is injecting cash back into Raimon, which also relied on Lehman's and were negatively impacted by that firms collapse last year. The company has announced plans to defer development at the high profile uber luxury Amalfi project in Phuket which is located next to the Amanpuri. Raimon's current situation brings the shortcoming of property ownership by foreigners into a stronger light, and remains a topic unaddressed by the current Thai Government who have done little to attract overseas investment in this sector.

Nigel Cornick during his tenure was a great supporter of Phuket through key sponsorship of King's Cup Regatta, Phang Nga Bay Regatta, and widely distributed publications such as Condo Focus and Why Invest in Phuket. Raimon Land has been an important cooperative market resource and potentially a vacuum will be created by the firm's current situation.

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'The Captain' - if you bothered to research the issue you would know that he brought Raimonland to life following the Asia collapse in the mid 90's. Raimon's shares, like most others across the globe have dropped - not as a result of management incompetence, but because of broader issues. Nigel helped develop a company strong enough to withstand the downturn - a luxury not many other developers have. .15 stang - atleast its still trading!

Bill Barnett responds:
Good point and there are indeed strong fundamentals at play which is why IFA bourght in and continues to increase shareholding. At the same time the news deals with the here and now on IFA's efforts to restructure Lehman's issues which is what we are dealing with. Thanks for imput.

Insight, 13 Aug 2009 | 8:59 pm

do you know where he is gone or what he is doing now ?

Bill Barnett responds:
At last chekc he was in Bangkok and no annoucement yet on future plans.

Jim Lee, 01 Apr 2009 | 4:03 pm

i wonder ?
Bill Barnett responds:
Too personal thanks for reading though....

Happy Feet, 27 Mar 2009 | 4:35 pm

Yesterday Raimonland sacked a large number of staff in Bangkok, and are returning 3 floors that they have rented.

Chris, 26 Mar 2009 | 11:09 am

Captain, NAV 1.18 IFA bought in on existing projects at 1.75 FV 2.25 seems
old CEO not Islamic compliant to many parties and booze !

Iknow, 18 Mar 2009 | 11:06 pm

well i agree their share price have dropped and that as CEO he should be responsible, what will happen to them now ? i understand that their have delayed their projects for this year ?

Phionex Coal, 16 Mar 2009 | 6:45 pm

i agree with the Cpatain, im glad he has gone, sack the lot of 'em and bring in some real professionals..

Bendego Bank, 14 Mar 2009 | 1:03 pm

Superb blog concept Bill and a well-needed one for the industry imho.
Regarding Raimon's restructuring, wish them well not ill, Thailand needs well structured, quality developers.
My further comments are too long to post, so here's a link (comment at bottom)
http://www.bahtsold.com/forum/viewtopic.php?t=3860
(hope the link is appropriate in context)

Daniel, 13 Mar 2009 | 1:09 pm

Raimon Land brought so much to Phuket island and still a lot is awiting for this beautiful island. Bill, nice idea for the blog ;)

Zed, 13 Mar 2009 | 12:00 pm

right on captain,

Bill Barnett responds:
good to have the comments but lets keep it friendly please.

Happy Feet, 12 Mar 2009 | 6:43 pm

im glad he has gone, their share price went from 1 baht to now trading .15 stang.. he should of gone a long time ago

The Captain, 12 Mar 2009 | 4:06 pm