The Adore Beauty Group Ltd (ASX: ABY) share price has risen by more than 5%. Is a change of leadership the cause?
Adore Beauty is an online retailer of thousands of different beauty products on its website.
Adore Beauty share price jumps
The e-commerce player announced yesterday, after the market had closed, that its CEO Tennealle O’Shannessy has resigned and will leave the company in February 2023.
According to the announcement, Ms O’Shannessy has accepted the position to be the CEO and Managing Director Idp Education Ltd (ASX: IEL).
The company is now going to do a global search for a new CEO, assisted by Egon Zehnder, which is a business which describes itself as a global leadership advisory firm and offers management consulting and executive recruitment outfit.
Ms O’Shannessy said:
It has been a great privilege to work with an exceptionally skilled team whose enthusiasm and hard work have contributed so much to the growth and success of Adore Beauty. I wish to thank all of the Adore Beauty team for their passion, customer focus and dedication.
The Chair of the Adore Beauty board, Marina Go, said the Ms O’Shannessy displayed “outstanding leadership”. Ms Go said the outgoing CEO has done an excellent job of delivering financial and operational success, including exceeding all prospectus forecasts and that she is leaving the business well-positioned for long-term growth.
The Chair went on to say:
The foundations for our long-term growth strategy are now in place with our mobile app, loyalty program, and first ‘owned brand’ all launched and scaling strongly in a market benefiting from the structural shift to e-commerce, which has seen us increase our active customer base by 90% in two years.
Final thoughts on the Adore Beauty share price
A strong rise of the share price in relation to a change of management would be an interesting move. Some of the rise may simply be due to following tech shares in the US which went up after the latest US inflation figure wasn’t quite as high as expected.
Will a new CEO be able to lead the company to new heights? We’ll have to see.
