Summary
- Shortlist candidates all men, includes three external
- Previous CEO Tavares left behind unhappy shareholders
- Shares hit all-time low amid leadership and market challenges
PARIS/MILAN, (Reuters) – French-Italian carmaker Stellantis has reduced its shortlist of CEO candidates to five, said two people familiar with the matter, as it nears a decision on who will lead the company through one of the industry’s most tumultuous periods.
Investors are likely to seek an update on the hiring process as well as further insight into how Stellantis will manage President Donald Trump’s 25% tariffs on foreign auto imports at an annual general meeting in Amsterdam later on Tuesday.
Former CEO Carlos Tavares abruptly departed the company – maker of Jeep and Peugeot brand cars – in December following a dramatic plunge in sales and profit. He left behind broken relationships with suppliers and dealers, and unhappy shareholders.
Stellantis shareholders are due to vote on Tuesday on Tavares’ final remuneration package of 35 million euros ($40 million), which includes severance and 10 million euros in bonus pay for meeting a series of company milestones.
Stellantis has said it wants to finalise the appointment of his replacement by the end of the first half.
It has already shortlisted two internal candidates, the head of its North America business, Antonio Filosa, and the head of procurement, Maxime Picat.
The board has also interviewed three external candidates, said two people familiar with the matter. While they declined to share names, one of the sources said all the candidates are men.
The sources asked not to be named as the selection process is confidential.
Stellantis declined to comment.
The successful candidate will take the helm of a company navigating global headwinds.
Stellantis said earlier this month it was temporarily laying off 900 workers at five U.S. facilities and pausing production at one assembly plant each in Mexico and Canada, after the U.S. tariffs were announced.
And, like many automakers, it is also struggling with a rocky transition to electric vehicle production.
Chairman John Elkann, currently steering the group in the absence of a CEO, and the Peugeot family’s Peugeot Invest have both said the hiring process was progressing as planned.
Elkann, the scion of the Agnelli family, told analysts in February that Stellantis had excellent internal and external candidates.
Peugeot Invest CEO Jean-Charles Douin said last month that the ad hoc committee charged with finding Tavares’ replacement was meeting with candidates.
The Agnelli and Peugeot families are Stellantis’ largest shareholders through their investment firms.
Stellantis shares earlier this month hit an all-time low at 7.51 euros, after topping 25 euros one year ago.
($1 = 0.8819 euros)
Reporting by Gilles Guillaume in Paris and Giulio Piovaccari in Milan; Additional reporting by Florence Loeve; Writing by Dominique Patton; Editing by Joe Bavier
Source: worldautoforum.com
