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Business

Paramount resort chief executive David Testa quits

By: Chris Price

Published: 16:30, 10 February 2017

Updated: 16:40, 10 February 2017

The chief executive of the developer of a Paramount resort in Kent has stepped down days after questions were raised about one of its Chinese investors.

David Testa has also ceased all his roles with the Kuwaiti firm KEH Group, which is bankrolling the plans for the £3.2 billion attraction and also owns Ebbsfleet United Football Club.

He has been replaced with immediate effect by Humphrey Percy, the group chief executive of KEH, who takes on the same role at London Resort Company Holdings (LRCH), the company putting together the Paramount plans.

Ebbsfleet United chairman Dr Abdulla Al-Humaidi, right, with director David Testa

The move comes less than a week after the former director of SinoFortone, a Chinese investment firm, raised doubts over its ability to meet a £100 million pledge towards the theme park.

Sir Richard Heygate, who resigned in December, said SinoFortone’s commitment to the Paramount plans had fallen apart when China’s state export credit agency, Sinosure, refused to provide finance.

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The Paramount proposals, which it is estimated could create 33,000 jobs, have been beset by setbacks under the tenure of Mr Testa.

It is not expected to open before 2022, with its launch date formally put back three times, and a planning application is yet to be submitted after originally being scheduled for summer 2015.

Developers hope the resort will be open - without the Paramount branding - in 2023

His departure comes six months after the exit of Fenlon Dunphy, a director who spearheaded much of its consultation work in the community.

Tony Sefton, the man who came up with the idea of building the resort on the Swanscombe Peninsula between Gravesend and Dartford, left the project in 2015 but remains a shareholder.

Mr Percy said: “David Testa has decided to step back from the KEH Group and cease his roles within all group companies, including LRCH (London Paramount).

“David’s input into the project has been hugely appreciated and we wish him well in the next stage of his career.

“We are now entering a new exciting phase of the project as we carry out our final stage of consultation prior to submitting our development consent order [the term for its planning application].”

Fenlon Dunphy left the London Paramount project last year
Tony Sefton has left London Resort Company Holdings, the firm behind the Paramount entertainment resort

LRCH has made a series of appointments in addition to its new chief executive.

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Mike Morrison, who has held senior positions at investment bank Morgan Stanley and WestLB AG, has been hired as chief financial officer.

Kevin Doyle, who has worked on the entertainment resort project from the start, has been appointed DCO coordinator.

He will be responsible for ensuring that its planning application to the Government is successful.

It is seeking special planning status known as a development consent order, which will give it the automatic power to purchase land if necessary for the scheme.

David Testa, left, as a director of Ebbsfleet United with chief executive Peter Varney, centre, and director Stuart Butler-Gallie

Mr Percy added: “This announcement reaffirms our determination to submit our application for the entertainment resort.

“After many months of review, revision and reappraisal we have a robust business plan for building a world-class entertainment resort in the UK and are ready to push forward.

“We are working closely with the local authorities, landowners and local community, as well as our other stakeholders, to deliver a global destination attraction.

“I am confident that now, we have the team, the partners and the plans in place to deliver a truly global destination attraction.”

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