Jonathan Johnson, CEO of Overstock.com, June 29, 2023.
Scott Mlyn | CNBC
The new Bed Bath & Beyond announced Monday that its CEO, Jonathan Johnson, is withdraw immediately from his post just days after activist hedge fund JAT Capital called for his ouster.
JAT Capital, which holds a 9.6% stake in the company, sent a letter to the board of directors dated Thursday that accused Johnson of being responsible for the company’s poor financial performance and said he should be “removed from his position immediately.”
“He has performed poorly (as demonstrated by the company’s financial results relative to those of his peer group), he has communicated poorly with investors and the seller community, and he has recently taken actions that the impression that one’s own interests take priority.” says the letter, which was revealed in a deposit of securities.
In the letter, JAT stated that Marcus Lemonis, the Camping world The CEO and TV personality who starred on CNBC’s “The Profit” is set to take over as CEO of the company. He joined the Overstock board of directors last month.
Johnson had been chief executive of Overstock since 2019. He led the company through the acquisition of Bed Bath & Beyond earlier this year and its name change to Beyond Inc.which came into force on Monday.
David Nielsen, president of Beyond and former Payless ShoeSource executive, has taken over as interim CEO while the board searches for a permanent candidate.
“Following the recent acquisition of the Bed Bath & Beyond brand and the renaming of our company Beyond, Inc., the Board of Directors and Jonathan determined that this was the ideal time for a leadership transition to guide the company forward,” said Allison Abraham, Beyond Board of Directors. president, said in a statement.
Beyond said Johnson’s departure “follows a mutual agreement” between him and the board to transition the company to new management, but the move happened suddenly. About two weeks ago, the company told reporters that Johnson would be in New York on Monday – the same day the company name change took effect – and said he would be available for meetings that day. noon.
The company and Johnson did not immediately respond to a request for comment seeking additional information.
“As the company turns the page to become Beyond, it is the right time for me to also turn the page to the next chapter of my career,” Johnson said in a statement. “It has been an honor to work with such an exceptional team. I am confident that the company is well-positioned to achieve broader grassroots reach as a bigger and better Beyond.
Johnson had been with the company for more than 20 years and took over after its founder and former CEO, Patrick Byrne, revealed he had a relationship with a Russian spy.
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