Groupon’s Next CEO Will Not Come From Within [REPORT]By: Josh Wolford - March 6, 2013
Last week, after a poor Q4 earnings report, Groupon finally ousted CEO Andrew Mason after months of speculation.
Executive Chairman Eric Lefkofsky and Vice Chairman Ted Leonsis were tapped to head the “Office of the Chief Executive” and serve in his place until a replacement is found.
And it looks like that replacement will come from outside the company.
Bloomberg quotes two sources close to the matter who say that Groupon’s search for the next CEO is focusing on outside candidates. The board will hire a recruiting firm in the next couple of weeks and expect to have a new CEO in place within 3 to 6 months.
Only if that search fails to find a suitable replacement will the company’s board consider someone from inside the company, says the report.
Groupon has already ruled out both Lefkofsky and Leonsis as possible CEOs.
Just before Groupon announced that Mason was out as CEO, the company reported disappointing earnings. Groupon missed Wall Street estimates, posting a net loss of $81.1 million for Q4 although revenue was up 30%.
Upon Mason’s departure, Groupon stock rose sharply from $4.53 to as high as $5.10 in after-hours trading. Currently the stock sits as $5.64.