Etsy shares sank on Tuesday after the company announced a number of executive changes and signaled job cuts in its earnings report.
ADVERTISEMENT
Etsy tanks after announcing a new CEO, flat earnings, and job cuts (ETSY)
Etsy announced Tuesday that its CEO Chad Dickerson will step down on Wednesday May 3.
Etsy CEO Chad Dickerson
ADVERTISEMENT
CEO Chad Dickerson steps down from the role on Wednesday, the online marketplace for hand-made goods said in a statement.
Josh Silverman, a board member, will replace Dickerson as chief executive.
John Allspaw, the chief technology officer, is leaving the company.
ADVERTISEMENT
These announcements came hours after hedge fund Black-and-White Capital, which owns a 2% stake in Etsy, urged the company to explore strategic alternatives including a possible sale, according to Bloomberg. The fund also urged Etsy to separate the roles of chairman and CEO, which Dickerson jointly held.
Etsy shares fell by as much as 17% in after-hours trading on Tuesday, and were down nearly 10% early on Wednesday.
FOLLOW BUSINESS INSIDER AFRICA
ADVERTISEMENT
Recommended articles
Offshore sportsbooks and best sports betting sites
Top 5 African cities with the most unaffordable real estate in 2024
US says it is still engaged with West African juntas
Opinion Piece: Accelerating sustainable development goals through better agricultural risk management
Zimbabwe is set to honor Russian victory with a monument
Top cross-border payment companies in Africa on recent global ranking
Studio Monkey in collaboration with Worldwide FM and Gilles Peterson launches initiative to support grassroot music communities
NexaScale marks one-year milestone with visionary initiatives empowering Africa's youth for the future of work