Ocado has announced that co-founder and chief executive Tim Steiner will remain in his role until December 2027, as the company formalises its succession plans following months of speculation. The retail technology firm stated that the succession process is expected to conclude around the start of the 2028 financial year, which begins on December 1, 2027.
Steiner's Continued Role and Transition
Steiner, who co-founded Ocado in 2000, will continue to lead the business as chief executive throughout the 2026-27 period and until the succession is completed. During this time, he will work closely with the board to identify and prepare the next generation of leadership. After his successor is appointed, Steiner will transition into an advisory "founder role," providing strategic advice to the board and management through 2029.
Ocado said: "The board and Tim have been engaged in a thoughtful and collaborative succession planning process designed to support Ocado's long-term success. The company expects this process to conclude around the start of the 2028 financial year."
Market Reaction and Background
Shares in Ocado fell 3% in morning trading on Monday following the announcement. The news comes after reports that the company was seeking a replacement for Steiner amid boardroom pressure due to significant share price declines. Ocado's share price peaked at around £29 in 2020 but has since fallen to just under £1.80.
The company also recently announced the closure of warehouses run with its grocery partners in the US, which has added pressure on its stock. In February, Ocado said it would cut around 1,000 roles, about 5% of its global workforce, mainly at its headquarters in Hertfordshire, as part of restructuring efforts.
Strategic Moves and Partnerships
Despite challenges, Ocado continues to pursue growth. The firm recently announced a new partnership with Asda to improve the supermarket's online grocery service. Ocado operates a grocery retail business in a joint venture with Marks & Spencer and runs robotic warehouses and technology platforms for supermarkets worldwide.
Steiner, who previously spent eight years as a banker at Goldman Sachs, co-founded Ocado with former colleagues. The company highlighted that his move to an advisory role reflects his "unique perspective and longstanding commitment to Ocado," allowing him to continue providing strategic guidance and deep market expertise through 2029.
