Groupon Names Eric Lefkofsky CEO, Announces Share Buyback Plan
Coinciding with its Q2 earnings report, Groupon announced yesterday that its Board has appointed interim CEO Eric Lefkofsky to the permanent position of CEO.
"The Board is encouraged by Groupon's performance under Eric's leadership, and we're pleased that he has agreed to lead the company through this important stage of its evolution," said Chairman of the Board Ted Leonsis (who was appointed to that post yesterday) in a statement.
Lefkofsky, 43, is a co-founder of Groupon, as well as a founding member of InnerWorkings, Echo Global Logisitics, and MediaBank. Lefkofsky had served as Groupon's chairman and one-half of the Office of the Chief Executive, along with Leonsis, since Andrew Mason's ousting as CEO in February. Lefkofsky now holds the job alone.
According to a filing with the SEC, Lefkofsky will receive an annual base salary of $1, subject to annual review. He will also be eligible for an annual bonus with a target amount of $500,000.
Lefkofsky seems to be satisfied with how things are progressing under his watch: "With two quarters on the job, I'm pleased with the progress we've made in such a short time. We continue to gain traction in mobile, with nearly 50% of our North American transactions coming from mobile in June," he was quoted as saying. "To date, more than 50 million people have downloaded Groupon apps worldwide."
The company exceeded sales and operating income expectations, and shares headed 18% higher in after-hours trading. The company also announced plans to repurchase $300 million of stock over the next two years.
-- Material from The Associated Press was used in this report.
The article Groupon Names Eric Lefkofsky CEO, Announces Share Buyback Plan originally appeared on Fool.com.Fool contributor Justin Loiseau has no position in any stocks mentioned. You can follow him on Twitter, @TMFJLo, and on Motley Fool CAPS, @TMFJLo.The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.