Pandora shares are lower Thursday, reversing an opening gain amid news President and CEO Anders Colding Friss will step down from his position at the end of August. Incoming COO, former Body Shop CEO Jeremy Schwartz will lead the company alongside CFO Anders Boyer, while the board finds a replacement for Friss.
By 1050 BST, Pandora shares were 0.15% lower a DKK341.10. The stock plunged earlier this week after warning of job cuts and that sales and profits would be lower than expected.
New Pandora COO
In Thursday’s announcement, the Board thanked Friss for his three-and-a-half years of work at Pandora and said they remain committed to the strategic plan laid out in January of this year.
“The Board recognises the important role Anders Colding Friis has played in leading the Company and in particular in developing and articulating the right new strategy assuring the future success of PANDORA,” said Chairman of the board of directors, Peder Tuborgh.
“Pending the appointment of a new CEO, I am delighted that we have Anders Boyer and Jeremy Schwartz on board to take the lead,” he added.
Change comes as new strategy takes off slowly
The change of leadership for the Danish jeweller follows news earlier this week that Pandora was cutting its 27,000-strong work force by 400, as part of its plans to continue along its new strategic path.
“We have made important progress on our 2022 strategy since we launched it last year, and are on the right long-term direction for PANDORA,” outgoing CEO Friss said.
“The adjustments we announce today will reduce complexity and free up resources that we can add to our strategic priorities. The adjustments are also – together with our procurement program – necessary to protect our profitability. Sadly, the changes mean that good employees will lose their jobs, and we are supporting them in the best possible way,” he added.