Shoppers Stop Shares Drop 10% As CEO Resigns, New CEO Appointed
Shoppers Stop, a retail chain, saw a 10% drop in its shares after the resignation of its MD & CEO, Venu Nair. Nair’s resignation will be effective from August 31.
The company has promoted Kavindra Mishra, the CCO and CEO of Homestop, as the new MD & CEO. Nair will continue to guide the new CEO for six months.
The company’s board of directors accepted Nair’s resignation and expressed their appreciation for his contributions.
The non-executive chairman of the company, B.S. Nagesh, will assist during the transition period and mentor the new CEO, Kavindra Mishra.
Nair played a significant role in shaping the company’s growth in the post-Covid era, focusing on fashion, beauty, and expanding the retail network.
Kavindra Mishra, the new MD & CEO, previously worked as the managing director and CEO of House of Anita Dongre and Pepe Jeans India.
He also co-founded Zovi.Com, a start-up funded by Tiger Global & Saif Partners. Mishra holds a Post Graduate Diploma from the Indian Institute of Management, Bangalore.
Following the announcement, Shoppers Stop’s shares dropped by 11% to Rs 722.90. This decline erased all the gains made by the stock in 2023, marking the biggest single-day drop for the company in over three years.
In response to Nair’s resignation, Shoppers Stop has promoted Kavindra Mishra as its executive director & CEO. The board of directors approved his promotion and appointment, effective from September 1, 2023, for a period of three years, subject to shareholder approval.
Nair resigned due to personal reasons, wanting to spend more time with his family and explore other options. The board accepted his resignation and acknowledged his contributions to strengthening the business in the post-Covid era.
Venu Nair will continue to support and advise the new CEO over the next six months. B.S. Nagesh, the non-executive chairman, will assist during the transition period and provide guidance to the executive director & CEO of the company.