Endeavour Group Ltd (ASX: EDV) shares are on the slide on Friday morning.
At the time of writing, the ASX 200 stock is down 1% to $5.05
Why is this ASX 200 stock falling?
Investors have been selling the drinks giant's shares this morning after it announced the exit of its CEO.
According to the release, Steve Donohue has decided to step down as CEO and managing director of the BWS and Dan Murphy's owner.
The release notes that after 30 years with the business, including more than six years as CEO, and following the successful demerger of Endeavour from Woolworths Group Ltd (ASX: WOW) in 2021, Donohue and the board have determined that now is the right time for a new leader to take the company into its next phase of growth.
It certainly has been a long road for the outgoing CEO. He started as a summer casual in the second Dan Murphy's store in Alphington Victoria in 1994, before quickly rising through the ranks to take on a range of leadership roles across Endeavour Drinks and Woolworths Group.
Endeavour chair Ari Mervis said:
Steve is a rare CEO who rose from the shop floor to the top job, and he will leave behind a significant legacy with Endeavour Group.
What now?
The ASX 200 stock advised it was engaging external advisors as part of a comprehensive process to identify a new CEO. Donohue will remain in his position as CEO while the process is undertaken to assist with an orderly transition.
Commenting on his exit, Donohue said:
Six years after we created Endeavour Group and with the strategy and culture well established as an independent company, now is the right time for me to pass the baton on to the next leader. It has been an immense privilege to lead this company and to have been a part of this business for three decades.
I take great pride in the achievements of the company during my time as CEO and thank everyone at Woolworths and Endeavour who has supported me over many years. Together, we have created the leading company for social occasions, with unrivalled brands and hospitality venues.
Mervis added:
While Steve is remaining with the business as the CEO search progresses, on behalf of the Board I would like to extend my sincere thanks to him for his long service and commitment to Endeavour over many years.
