iCar Asia Ltd (ASX: ICQ) has announced the appointment of its new CEO this morning, who will replace the outgoing Damon Rielly in June this year.
Often compared to Australia's dominant online automotive classifieds business Carsales.Com Ltd (ASX: CAR), iCar Asia is the owner of a portfolio of automotive websites across Asia, including in Malaysia, Indonesia and Thailand. In fact, as the owner of 20.2% of iCar Asia's outstanding shares, Carsales.Com is a major shareholder of the business.
The company today said that while Mr. Rielly will be returning home to Australia (iCar Asia is headquartered in Kuala Lumpur, Malaysia) to spend time with his family after nearly four years in the role, Hamish Stone will take his place. While a change of leadership always has the potential to introduce risks, Stone appears to be a good fit for the business.
Indeed, he was described as an "online automotive marketplace expert", who "has led online classifieds businesses in Australia, the UK and Netherlands as part of eBay for the last 10 years." Rielly will remain with the business until Mr Stone begins his tenure to effect a smooth transition.
The shares have traded mostly flat today after the announcement was made and are currently fetching 90 cents each. One of the attractive things about owning the shares is that, if they do fall substantially in price, there is a good chance that would attract the attention of Carsales.Com as a buyer of more shares.
That alone is no reason to own the company's shares, but when you consider its attractive growth prospects as well, iCar Asia could be worth a closer look.