Why is the REA share price higher on Monday?

After an extensive search, a new CEO has been named.

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REA Group Ltd (ASX: REA) has wrapped up its extensive search for a new CEO, appointing Cameron McIntyre to lead the company from 3 November. The announcement sent the REA share price $3.645 higher just minutes after the markets opened this morning.

McIntyre will take over from long-term REA leader Owen Wilson, who announced his retirement from executive life in February. 

McIntyre has a track record in leading and expanding businesses in the digital marketplace, both domestically and abroad.

He led CAR Group Limited (ASX: CAR) for close to a decade during its rapid expansion, and his expertise saw the company grow sixfold. 

Knack for expansion

REA's board no doubt hopes to inherit McIntyre's knack for expansion.

"We are delighted to announce Cam's appointment, following a comprehensive global search," REA Group chair Hamish McLennan said. 

"His proven calibre and unique experience, including a deep understanding of, and success in, a business that has much in common with REA, make him the ideal person to build on REA's strong momentum and lead its next phase of growth. 

"Having led the growth and transformation of CAR Group's business, Cam has a wealth of experience in successfully leading a thriving global digital business.

"He has consistently executed strategies that enhance value for customers while breaking new ground to improve the consumer journey. 

"His track record of driving high performance and his commitment to leading the growth and development of teams also demonstrate a clear alignment with REA's values." 

For his part, McIntyre said he was keen to get started: "This is an inspiring and iconic business that I've long admired and whose products I've observed and used extensively for many years. 

"REA has outstanding market leading brands, a talented team, an incredible culture and a lot of growth potential. 

"Its culture of innovation and investment is renowned and I'm looking forward to working with the board and the team to continue delivering growing value for REA's customers, frictionless and engaging experiences that enhance the property experience for consumers, and excellent outcomes for shareholders." 

Smooth transition

The company said Wilson, who has served in key roles at REA for just 11 years, including more than six as CEO, will wrap up at the end of October. He will then take up the role of chair of REA India Pte. Ltd. 

"Since announcing in February his intention to retire, Owen has continued to lead REA with enthusiasm and dedication," McLennan said. 

"We are extremely grateful to Owen for his commitment to REA and the significant impact he has had in his leadership, first as CFO and then as CEO. 

"During Owen's time at REA, the company has achieved considerable growth and transformed from an Australian property listing business to an international, diversified business, and the renowned culture of REA has gone from strength to strength."

Motley Fool contributor Susanna Nelson has no positions in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended CAR Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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