Boohoo will take on Primark’s chief operating officer, who will become the group’s chief executive.
John Lyttle will become the group’s new boss from March 2019 and replace current joint chief executives Mahmud Kamani and Carol Kane.
Boohoo said Lyttle’s appointment “is a key constituent of the Group’s positioning for its next stage of growth and will be accompanied by a number of changes to the existing main Board roles, all of which are designed to support the journey of the Group through its further international expansion.”
Lyttle’s annual salary will be £615,000, with an annual bonus of up to 150 percent of that amount.
“John Lyttle’s remuneration package will be heavily related to creating premium growth in shareholder value over the next five years,” said Boohoo.
Kamani will become group executive chairman and Kane will remain on the main board in an executive role.
Kamani and Kane said: “We are thrilled to have secured a candidate of John’s calibre as our CEO. We have got to know John over a number of years and are convinced he has the necessary skills to complement what we already have and take the Group on to its next stage of growth.”
“Both of us remain totally committed to the business and will ensure a measured and careful handover.”
Analysts at Liberum said in a research note: “While Primark is a store based model, it has very similar characteristics to Boohoo, despite different channels. The signal of intent is to match Primark’s success in taking Boohoo to a £7 billion turnover business, just as he [Mr Lyttle] did at Primark.”
“This news should not be seen as an upheaval as Mahmud Kamani will lead the strategic direction of the group, while CEO designate John Lyttle will take care of the day to day operations.”
“Carol Kane will continue to drive the creative direction of the brands.”
Shares in the group (LON: BOO) are up 1.42 percent at 172.42 (1000GMT).
