Nike shares jump 10% with CEO change

By Ovunc Kutlu

ISTANBUL (AA) - American athletic footwear and apparel corporation Nike's shares jumped 10% Thursday with a change in its CEO position.

Nike’s stock price soared to $89.26 per share on the New York Stock Exchange in after-hours trading after closing the session at $80.98 a share.

The company's board of directors announced that CEO John Donahoe will retire from Nike and a long-time veteran of the firm, Elliott Hill, will return as president and CEO.

Hill will also join the board of directors and executive committee, the company said in a statement.

"Given our needs for the future, the past performance of the business, and after conducting a thoughtful succession process, the Board concluded it was clear Elliott’s global expertise, leadership style, and deep understanding of our industry and partners, paired with his passion for sport, our brands, products, consumers, athletes, and employees, make him the right person to lead Nike’s next stage of growth," said Executive Chairman Mark Parker.

Hill held senior leadership positions across Europe and North America during his 32 years at Nike and was responsible for helping grow the business to more than $39 billion, according to the statement.

Donahoe will remain as an advisor to the company through Jan. 31, 2025 during the transition period.

"It became clear now was the time to make a leadership change, and Elliott is the right person. I look forward to seeing Nike and Elliott’s future successes," Donahoe said.