Kordia loses a second CEO to sickness and injury

In another hit for government-owned business ICT and comms provider Kordia, its chief executive Shaun Rendell has been forced to unexpectedly quit.

Earlier this year he suffered an accident, which requires him to take time to recovery. His resignation takes effect from April 1, but chief operating officer Jason Fullerton-Smith is already covering the leadership while Rendell is on sick leave.

“While I expect to bounce back to full health in due course, the best decision for me, my family and the company is to fully step back from work and focus on my health,” Rendell says.

Tragically, Rendell stepped up to the role in 2021 only after the resignation of the company’s previous head, 40-year-old Scott Bartlett. The young executive was suffering from cancer, and died just two months after his resignation.

The loss of Rendell is another blow to Kordia, which had been in the headlines over the fees it charges TV3.

The broadcaster has asked the Government to waive the fees; when it refused, TV3’s owned Warner Bros Discovery says it had no choice but to shut down its entire Newshub operation.

Kordia Group reported $14 million more in revenues in 2023 but, despite this, a $2m lower profit.

In its report, the company put that down to softening economic conditions, higher interest rates, rising costs, spending related to unprecedented weather events and taking up a major public safety network contract.

That is the $1.4 billion project to build a nationwide digital radio network for police, fire and ambulance emergency services, to replace outdated analogue technology.

In the past couple of years, Kordia has acquired managed IT, network and security solutions provider Base 2, and then security services provider SecOps NZ.

The state-owned enterprise plays a critical role. Just last week, it published its Business Cyber Security Report, finding that one in three businesses impacted by cyber-attacks say their business operations were disrupted – and many point to third-party suppliers as the cause.

The company has said nothing about Rendell’s departure on its webside or social media channels, and there has been no statement from stakeholding ministers Nicola Willis and Paul Goldsmith. Newsroom has approached both ministers, seeking more information.

But in a limited release statement via public relations agency Pead PR, Rendell says the decision has been made to prioritise his health. He is disappointed to be leaving Kordia, he says.

Before joining Kordia, Rendell held various senior leadership positions including chief executive of Renaissance Group. In the 1990s he worked at British Telecom and O2 in the UK before immigrating to New Zealand.

He joined Kordia in 2012 as group chief financial officer, became acting chief executive in 2019 and was made permanent in 2020.

Kordia provides a range of business communication services, including voice calling, internet connectivity and video broadcast. For the year to June 2020 it reported a net profit of $9.6 million from revenue of $223.3m.

Under Rendell’s tenure, the company expanded further into cybersecurity, cloud and managed IT through key strategic acquisitions and growth, the statement says.

Chair Sophie Haslem says Rendell has been a valuable part of Kordia for more than 11 years.

“Although it is unfortunate he has resigned, the board appreciates he has made the right decision for his personal recovery and for the company,” she said. “We thank him for his service and wish him the best.”

In December, Rendell told NBR that he was heading back to the UK with his wife and children, to spend Christmas with his family in Worthing, on the south-east coast.

He was upbeat about returning for the year ahead.

“From a business perspective, I’m looking forward to the year ahead for Kordia as we continue to grow our cybersecurity business,” he said. “We’ve been doing meaningful work in this space, helping both public and private businesses mitigate cyberattacks and digital threats.

He predicted that in 2024, the cost of living would go down and the economy would get back on track. “I take each day as it comes and work on a no-regrets strategy.”

That’s all changed, now.

“I’m incredibly sad to be leaving the Kordia family,” Rendell says. “The company and its people have been a significant part of my life over the past decade. I’ll be eager to observe the team’s success in 2024 and beyond.”