Twitter just announced in a filing with the SEC that embattled CEO Dick Costolo will step down on July 1 as reported by Business Insider. Here is the breakdown…
Jack Dorsey, one of the original founders of the company, will be the interim CEO. The stock is up about 8% after hours on the news.
Dorsey is currently the CEO of Square, which will be a complicated situation for him to manage. In a press release, he said he would continue to lead Square for now.
Costolo has been under fire recently for Twitter’s failing to hit revenue and profitability targets, and for the fact that Twitter’s user base seems to have stalled out.
On June 11, 2015, Twitter, Inc. (“Twitter”) announced that Richard Costolo has decided to step down as Chief Executive Officer of Twitter, effective July 1, 2015. Twitter’s Board of Directors has named Jack Dorsey, 38 one of Twitter’s co-Founder’s and Chairman of the Board, to serve as Interim Chief Executive Officer while the Board conducts a search for Twitter’s next CEO. Mr. Costolo will continue to serve on Twitter’s Board of Directors.
As of Dorsey, he will continue to serve as CEO of Square, Inc., the payments and financial services company he co-founded in 2009 and who currently serves on the boards of directors of The Walt Disney Company.
Dorsey first became a billionaire in 2012, and he is currently worth $2.4 billion.