Stellantis N.V. ( STLA ) shares are trading lower on Friday. The company disclosed that it is in the process of finding a successor for CEO Carlos Tavares, who will retire in early 2026, is already underway.

This effort, led by a Special Committee of the Board chaired by John Elkann, is expected to conclude by the fourth quarter of 2025.

Apart from this, Stellantis also disclosed other management changes, effective immediately. Stellantis ( STLA ) appointed Doug Ostermann as Chief Financial Officer, succeeding Natalie Knight, who is departing the company.

Stellantis ( STLA ) CEO Carlos Tavares said, “During this Darwinian period for the automotive industry, our duty and ethical responsibility is to adapt and prepare ourselves for the future, better and faster than our competitors to deliver clean, safe, and affordable mobility.”

”The newly appointed leadership team members will make their valuable contributions to our overall team’s determination to tackle the challenges ahead, reinforcing and accelerating our transformation to become the preferred mobility tech company.”

The company has named Antonio Filosa as North America Chief Operating Officer in addition to his role as Jeep brand CEO, succeeding Carlos Zarlenga, whose next post will be subject to a further announcement.

The company has appointed Jean-Philippe Imparato as Chief Operating Officer Enlarged Europe in addition to his role as CEO of Pro One, succeeding Uwe Hochgeschurtz, who will depart the company.

Gregoire Olivier is appointed as Chief Operating Officer China and remains the Liaison Officer to Leapmotor.

Santo Ficili is appointed CEO of Maserati and Alfa Romeo and member of the Top Executive Team. Davide Grasso’s next placement will be subject to a further announcement.

In addition, the Supply Chain organization will transfer to the Manufacturing Division in an effort to improve commercial performance.

John Elkann, Chairman of the Board of Directors, said, “The Board of Directors is unanimous in its support of Carlos Tavares and for the decisive changes announced today. We are confident that these steps to simplify our organisation will strengthen our leadership team as they work to restore the Company’s performance to industry leading levels.”

Last week, Stellantis ( STLA ) recalled 129,313 Ram 1500 vehicles in the U.S., auto safety regulator National Highway Traffic Safety Administration (NHTSA).

Last month, Stellantis ( STLA ) lowered the 2024 operating margin outlook to 5.5%-7%, citing North American performance issues and global industry challenges.

Price Action: STLA shares are down 3.65% at $12.82 at the last check on Friday.

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