The CEO of Beiersdorf, Stefan Heidenreich is to step down, according to a report published by Reuters. Heidenreich is the second top executive to tender his resignation this year, with CFO Jesper Andersen due to leave the company this month.
Beiersdorf’s Board and Heidenreich have agreed ‘amicably’ that he will leave the company either at the end of his term in 2019, or before depending on the appointment of a successor.
“The Supervisory Board of Beiersdorf Aktiengesellschaft, Hamburg, and the Company’s Chairman of the Executive Board, Stefan F. Heidenreich, have reached an amicable agreement at today’s Supervisory Board meeting that he will resign from the Executive Board when his current term of office ends on December 31, 2019. Stefan F. Heidenreich will vacate his post earlier, if and when the Supervisory Board appoints a successor,” reads the statement released by the company.
Shares dropped dramatically following the news, hitting a six-week low on Thursday as the market reacted to the news.
“We view the management team as a key part of our culture change thesis and view these two resignations within six months as a negative,” analysts at Morgan Stanley told Reuters.