Hogg to stand down as 3i chairwoman(3)

Sarah Hogg will retire as 3i’s chairwoman in December 2010 after more than 10 years with the firm.

Hogg replaced Sir George Russell as 3i non-executive chairman in 2002 and has held the post for the last seven years, having previously spent four years as a non-executive director at the firm.

3i plans to hire two new non-executive directors and speculation is rife that one of them will replace Hogg as chairman when she steps down, a source said.

Hogg is a Conservative party peer, holding the title Lady, and headed the policy unit under UK Prime Minister John Major in the 1990s. She is currently chairman of the Nominations Committee and Valuations Committee, chairman of Frontier Economics, a director of BG Group and Carnival Corporation, a governor of the London Business School and a member of the Financial Reporting Council.

There have been significant management changes at 3i in the wake of tumbling share prices and write-downs. Last month Philip Yea resigned as chief executive of 3i after less than four years in the role. He was replaced by 3i infrastructure head Michael Queen, who was then replaced by infrastructure senior partner and chief investment officer Cressida Hogg.

This morning 3i shares were trading at 219.50 pence, which is a massive drop off from the 1,195 pence that the shares were worth when Hogg was hired in 2002.

One of the new non-executive directors is also expected to replace Oliver Stocken, deputy chairman and senior independent director at 3i, who is rumoured to be retiring in the next 12 months, according to The Financial Times.