Detroit, Michigan – One of the largest companies in the automotive sector Stellantis N.V. said that the Chairman of the Board of Directors, John Elkann, accepted the Chief Executive Officer Carlos Tavares’ resignation. Tavares’ departure is effective immediately, marking a significant transition for the company.
Since its founding, Carlos Tavares has been leading Stellantis and has been instrumental in the development of the company as well as in the smooth mergers between PSA and Opel. Stellantis has come a long way under his direction in presenting itself as a worldwide automotive leader. The corporation commended Tavares for his “years of dedicated service” and for his key influence on the direction of the business.
Tavares’ resignation decision follows a period of conflicting opinions between him and the Board. Senior Independent Director Henri de Castries of Stellantis pointed out that the company’s success “rooted in a perfect alignment between the reference shareholders, the Board, and the CEO.” Recent weeks, however, revealed developing differences that resulted in this mutual decision. De Castries said he appreciated Tavares’s efforts but underlined the importance of consistency in the strategic orientation of the business.
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Stellantis responded to the resignation by acting fast to preserve consistency of leadership. A Special Committee of the Board is already working on appointing a new permanent CEO, a process expected to conclude in the first half of 2025. John Elkann will oversee a recently formed Executive Committee in the meantime to help the business navigate this changeover phase.
Chairman John Elkann expressed his gratitude towards Tavares for his contributions and leadership.
“Our thanks go to Carlos for his years of dedicated service and the role he has played in the creation of Stellantis, in addition to the previous turnarounds of PSA and Opel, setting us on the path to becoming a global leader in our industry,” Elkann said in an announcement.
“I look forward to working with our new Interim Executive Committee, supported by all our Stellantis colleagues, as we complete the process of appointing our new CEO. Together we will ensure the continued deployment of the Company’s strategy in the long-term interests of Stellantis and all of its stakeholders,” Elkann added.
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Stellantis has assured stakeholders that its financial outlook remains strong and reaffirmed the guidance presented to the financial community on October 31, 2024. The corporation is certain that its plan would help them to reach the expected full-year results for 2024 as originally projected.
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The sector watches closely as Stellantis deals with a change in leadership. The appointment of a new CEO will be crucial for Stellantis as it continues to adapt to the rapidly changing automotive landscape, focusing on innovation and sustainability to meet global demands. Under the experienced direction of Elkann and the executive team, the interim period looks to be steady and guarantees that the strategic operations of Stellantis keep running smoothly throughout this critical phase.