Parag Agrawal named new Twitter CEO as Jack Dorsey steps down
Twitter confirmed on Monday that Jack Dorsey was stepping down as chief executive officer and will be succeeded by Parag Agrawal with immediate effect.
Twitter Inc
$53.70
11:00 08/03/24
Dorsey will remain a member of the board until his term expires at the 2022 meeting of stockholders. Bret Taylor was named the new chairman of the board, succeeding Patrick Pichette, who will remain on the board and continue to serve as chair of the Audit Committee.
Agrawal has been with Twitter for more than a decade and has served as chief technology officer since 2017.
Dorsey said: "I've decided to leave Twitter because I believe the company is ready to move on from its founders. My trust in Parag as Twitter's CEO is deep. His work over the past 10 years has been transformational. I'm deeply grateful for his skill, heart, and soul. It's his time to lead."
At 1605 GMT, the shares were up 5.2% at 49.52p.
CMC Markets analyst Michael Hewson noted that Dorsey, who also runs digital payments firm Square, has previously been accused of being a part time CEO, "which helps explain today’s share price reaction".
"The hope is that new CEO Parag Agrawal will be able to devote 100% of his energy to stop the bleeding in the share price, from this year’s peaks at $80," he said.
Victoria Scholar, head of Investment at Interactive Investor, said: ". The change in leadership is being received as a positive by the markets as a way for Twitter to turn over a new leaf and take bigger risks. The development comes as no shock to its board members who have reportedly been preparing to say goodbye to Dorsey since last year.
"Twitter’s stock has been struggling lately, shedding more than 45% since the February high, with shareholders hoping that Agrawal can restore confidence in the tech giant after its latest earnings disappointed with revenue guidance and monetizable daily users falling short of Wall Street’s expectations, sending shares down double digits on the day."