It can be sometimes awkward when the market celebrates a change in C-suite leadership, but that's exactly what seems to be happening at Bapcor Ltd (ASX: BAP).
Bapcor shares surged as much as 12% today after the company announced the resignation of CEO Angus McKay and the appointment of Chris Wilesmith as its new Chief Executive Officer and Managing Director.
Why the optimism?
The market's strong reaction reflects a clear message from investors: they are ready for a reset.
A new CEO is likely to bring in fresh ideas and could be the catalyst that Bapcor needs to reset its trajectory.
Bapcor shares are down 56% so far in 2025, but investors will be looking at the new CEO's background with great optimism.
Wilesmith, a seasoned operator in the automotive aftermarket and broader retail sector, brings decades of experience across businesses closely aligned with Bapcor's core segments. According to the ASX announcement, he has held senior leadership roles at Super Retail Group Ltd (ASX: SUL) owned brand Supercheap Auto, as well as Jaycar Electronics, and Mitre 10 New Zealand. This should give him deep insight into trade, retail, and supply-chain operations across Australia and New Zealand.
The board highlighted his track record in growing businesses within the very categories Bapcor competes in. That relevance appears to have resonated strongly with shareholders, many of whom have been waiting for more stability and clearer execution after a difficult period for the company.
The market's enthusiasm also reflects a desire for renewed strategic direction. Bapcor has faced operational and profitability challenges in recent years, including multiple earnings downgrades, rising short interest, and ongoing concerns around its turnaround efforts. With customer-facing brands such as Autobarn, Autopro, and Burson, the business remains a meaningful player in the Australian automotive aftermarket, but execution has held it back.
Wilesmith will officially step into the role on 14 January 2026, with outgoing CEO Angus McKay assisting through a transitional period. The ASX filing notes that Bapcor's board thanked McKay for the progress made in simplifying the organisation and stabilising its foundations, but the decision to transition leadership now signals the company's focus on a new phase centred on recovery and growth.
Bapcor shares Takeaway
Investors appear to view Wilesmith's appointment as a credible catalyst for that next phase. His combination of automotive experience, operational discipline, and exposure to both supplier and competitor dynamics positions him well to address Bapcor's challenges while unlocking value in its trade and retail networks.
While the share price pop reflects renewed optimism, the real test will come as Wilesmith begins to shape strategy, rebuild confidence, and demonstrate that Bapcor can return to sustainable earnings growth.
For now, the market has rewarded the company for making what many see as a decisive and much-needed leadership shift.
