Friday, November 22, 2024

British tech entrepreneur Mike Lynch and Morgan Stanley’s Bloomer retrieved from yacht wreckage

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Mike Lynch, former chief executive officer at Hewlett-Packard Co.’s Autonomy unit, speaking at a conference on Thursday, April 25, 2013. 

Bloomberg | Bloomberg | Getty Images

LONDON — The body of British technology entrepreneur Mike Lynch, 59, has been retrieved from the wreckage of a yacht that sank off the coast of Sicily, a source familiar with the matter told CNBC on Thursday, confirming earlier reporting by Sky News.

Lynch’s daughter, Hannah, remains unaccounted for, according to the source, who asked not to be identified due to the sensitive nature of the situation. Sky News earlier reported that five bodies pulled from the wreck had been identified by the Italian coast guard, and that Lynch was among the dead.

Later on Thursday, it emerged that Morgan Stanley International Chair Jonathan Bloomer and his wife Judy were also found dead in the yacht wreckage. Bloomer is also the chair of insurance firm Hiscox.

“We are deeply shocked and saddened by Jonathan and Judy’s tragic deaths. Our deepest sympathies go out to their family and friends at this devastating time,” Aki Hussain, Hiscox CEO, said in a statement.

“It was a privilege to have known Jonathan and to have benefitted from his generosity and wisdom over the last year in his role as Chair of Hiscox.”

“His deep experience across our industry and in the broader business arena, combined with his personal values, made him both an excellent Chair and a person I was proud to know and work with. His advice and support were immensely valuable to me, and he will be dearly missed,” Hussain added.

Rescue personnel transport a body bag as they operate at a port to search for the missing, including British entrepreneur Mike Lynch, after a luxury yacht sank off the coast of Porticello, near the Sicilian city of Palermo, Italy, August 21, 2024. 

Louiza Vradi | Reuters

Yacht gathering was celebration of Lynch’s acquittal

Lynch, who was reported missing Monday, was one of 22 passengers aboard the Bayesian superyacht, which capsized while anchored in the small fishing village of Porticello, in the province of Palermo in Italy.

The trip on the Bayesian is thought to have marked a celebration of Lynch’s acquittal. Clifford Chance lawyer Chris Morvillo — who was reported missing after the superyacht sank — represented Lynch in the case, while Bloomer — who serves in a nonexecutive role as chair of Morgan Stanley’s European branch — testified for the defense.

Morvillo’s wife, jewelry designer Neda Morvillo, is also among those still missing.

On Wednesday, Salvatore Cocina, head of the civil protection agency in Sicily, confirmed to NBC News that five bodies had been recovered from the wreckage of the yacht. The only person confirmed dead by authorities so far has been Recaldo Thomas, a Canadian-Antiguan chef.

CNBC has contacted the Italian coast guard and is awaiting a response.

Lynch was founder of enterprise software firm Autonomy. He became the target of a protracted legal battle with Hewlett Packard after the firm accused Lynch of inflating Autonomy’s value in an $11.7 billion sale. HP took an $8.8 billion write-down on the value of the company within a year of buying it.

Lynch was acquitted in June of fraud charges in a surprise victory in U.S. court following a trial that lasted for three months. He had faced charges of wire fraud and conspiracy for allegedly scheming to inflate Autonomy’s revenue. Lynch denied wrongdoing and told jurors HP botched Autonomy’s integration.

Lynch was also founder of Invoke Capital, a venture capital firm endorsing European tech startups. He became a key voice supporting the U.K. technology industry, backing key names like cybersecurity firm Darktrace and legal tech firm Luminance.

‘One of the great modern British tech entrepreneurs’

Tributes were paid to Lynch following news of his death.

Russ Shaw, founder of technology industry groups Tech London Advocates and Global Tech Advocates, said Lynch “leaves a legacy as one of the great modern British tech entrepreneurs.”

“His ability to understand how tech can solve big challenges, and then successfully commercialise it was truly unique” Shaw said in a statement emailed to CNBC. “Mike will rightly be remembered for his work in nurturing some of Britain’s great tech companies, including Darktrace, Luminance and Sophia Genetics.”

The Royal Academy of Engineering, which made Lynch a fellow in 2008, said its trustee board, fellows and staff are “deeply saddened” to learn of his death and “send our profound condolences to his family.”

“We have fond memories of the active role he played [as a fellow] in the past, as a mentor, donor and former Council member. He was also one of the inaugural members on the Enterprise Committee,” the academy said on the social media platform X. “Our thoughts are with his family and friends at this time.”

Lord John Browne, former CEO of energy firm BP, said in a post on X that Lynch “should be remembered as the person who catalysed a breed of deep tech entrepreneurs in the U.K. His ideas and his personal vision were a powerful contribution to science and technology in both Britain and globally.”

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