Key facts
- Tim Steiner will step down as Ocado CEO at the start of the 2028 financial year.
- Chairman Adam Warby is leading the succession plan.
- Steiner will move into a founder role to provide strategic guidance.
- Ocado's share price has fallen significantly, reaching decade lows.
- US partner Kroger has closed warehouses using Ocado's technology.
Ocado founder and chief executive Tim Steiner is set to leave his role at the start of the company's 2028 financial year, following a succession plan initiated by chairman Adam Warby. Steiner, who co-founded the online grocer in 2000, will transition into a founder role, offering strategic guidance and market expertise to the board and management.
The move comes as Ocado, a FTSE 250 firm specializing in online shopping and warehouse automation, grapples with a significant decline in its share price, which has fallen to decade lows and shed 90% of its value over the past five years. Warby, who previously led headhunter Heidrick & Struggles, has reportedly approached Niklas Heuveldop, CEO of Vonage, a subsidiary of Ericsson, for the chief executive position.
While some shareholders reportedly resisted the pressure on Steiner, Warby's position on the board is understood to be secure. Steiner remains committed to driving the company's strategy and achieving positive cash flow before his departure. Ocado aims to appoint a successor before the start of its next financial year in December 2027.
Recent struggles for Ocado have been compounded by its US partner, Kroger, announcing the closure of three warehouses utilizing Ocado's technology. In February, the company warned of significant job cuts and initiated a search for new partners following Kroger's withdrawal.