Vodafone Shares Rise as CEO to Step Down

Vodafone (LON: VOD) announced early Monday that the company's Chief Executive Officer, Nick Read, has agreed to step down on December 31.

Read will also step down as director of Vodafone, but will remain an advisor until March 31, with Margherita Della Valle appointed interim Group Chief Executive.

Read has been at Vodafone for nearly four years, leading the company through the pandemic. However, during his tenure, the company's share price has nearly halved as the company sold assets to increase the focus on Europe and Africa.

So far on Monday, Vodafone's share price has risen, up 1.85% at the time of writing.

“I agreed with the Board that now is the right moment to hand over to a new leader who can build on Vodafone's strengths and capture the significant opportunities ahead,” said Read.

The company said Della Valle will “accelerate the execution” of Vodafone's strategy to improve operational performance and deliver shareholder value. Della Valle will also continue as the company's Chief Financial Officer, with Vodafone starting the process of finding a new Chief Executive.

“On behalf of the Board, I would like to thank Nick for his commitment and significant contribution to Vodafone as Group Chief Executive and throughout his career spanning more than two decades with the company,” said Jean-François van Boxmeer, Chairman of Vodafone. “He has focused Vodafone in Europe and Africa as a converged connectivity provider and led the industry in Europe in unlocking value from tower infrastructure.”

In Vodafone's half-year report released in November, the company cut guidance due to the macroeconomic environment with energy costs and broader inflation, impacting its financial performance.