26th May 2020 09:17
(Alliance News) - Aston Martin Lagonda Global Holdings PLC on Tuesday confirmed Chief Executive Officer Andy Palmer has stepped down with immediate effect, and the carmaker has appointed Mercedes executive Tobias Moers as his replacement.
Aston Martin shares were up 39% to 49.20 pence, the second-best performer in the FTSE 250 on Tuesday.
Palmer's position as chief executive has been the subject of speculation since billionaire Lawrence Stroll led a consortium that bought a 25% stake in Aston Martin last month, and then sold part of that to another consortium led by Mercedes-AMG Formula 1 team principal Toto Wolff.
Tuesday's announcement confirmed a report in the Financial Times newspaper on Sunday.
Moers will be based at Aston Martin's headquarters in Gaydon, Warwickshire and will join the company on August 1. He is currently CEO of the AMG sports car arm of Mercedes Benz AG, itself part of 4% Aston Martin shareholder Daimler AG. Moers has held that position since 2013.
Since assuming the role, Moers has led a major expansion of Mercedes-AMG, doubling its model range and increasing sales.
Under Palmer's watch, Aston Martin - in October 2018 - became the first carmaker to list in London since Jaguar was spun off from British Leyland and was listed on the London Stock Exchange in 1984 under Margaret Thatcher's Conservative government. However, the company since listing has issued a slew of profit warnings, and the share price plunged 98% to 35.46 pence at Friday's close from its IPO price of 1,900 pence.
Keith Stanton, currently chief manufacturing operations officer, has been appointed interim chief operating officer to support Executive Chair Stroll, the company added.
Stoll said: "I would like to thank Andy for his hard work, personal commitment and dedication to Aston Martin Lagonda since 2014. In that time the company has successfully renewed its core sports car range, with the DB11, Vantage and DBS Superleggera and has brought the brand's first SUV, DBX to a point of readiness for deliveries to start in the summer. Furthermore, the development of the era-defining Aston Martin Valkyrie hypercar has paved the way for the mid-engined range to come. I would also like to recognise his leadership through the current challenges and uncertainties presented by Covid-19.
"I am delighted to welcome Tobias to Aston Martin Lagonda. He is an exceptionally talented automotive professional and a proven business leader with a strong track record during his many years at Daimler AG, with whom we have a longstanding and successful technical and commercial partnership, which we look forward to continuing."
In a separate announcement, Aston Martin said non-executive directors Richard Solomons, Imelda Walsh and Tensie Whelan have stepped down from the board, having said in February they were not planning on standing for re-election at the annual general meeting on June 3.
By Arvind Bhunjun; [email protected]
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