The billionaire founder of IWG has unveiled plans to step down as chief executive, ending his decades-long control of the serviced office group.

Mark Dixon, the Essex-born entrepreneur who founded the London-listed company as Regus group in 1989, will transition into the role of chairman while chief transformation officer Christian Schmitz is to step into the chief executive role.

“Since founding IWG nearly 38 years ago with a single centre in Brussels, it has been a privilege to lead the company as it has grown to 6,000 locations open and in the pipeline across the world,” Dixon said.

He added that the company “continues to perform in line with expectations”. 

Following the announcement, IWG shares rose 1 per cent to 184p. The stock is down by 18.8 per cent since the start of the year.

Rollercoaster ride for IWG

Dixon’s decision marks the end of a rollercoaster few decades at the helm of one of Britain’s largest office space providers, which cemented his status as one of the UK’s richest entrepreneurs with a wealth of more than £1bn.

The company has been listed on the London Stock Exchange for more than a quarter of a century. It was forced to put its US arm into bankruptcy protection in 2003 before restructuring the business.

IWG’s shares lost more than half their value in 2020 after Covid lockdowns saw hundreds of its office sites left empty.

The firm has since pivoted to opening more sites in smaller towns and outside of city centres in a bid to adapt to changing working habits post-pandemic.

“The shift towards hybrid and more localised working is propelling our business forward with the fastest growth that we have ever seen in history,” Dixon said last year.