Twitter on Monday announced that co-founder Jack Dorsey has decided to step down as chief executive officer and will be replaced by Parag Agrawal, effective immediately.
"I've decided to leave Twitter because I believe the company is ready to move on from its founders. My trust in Parag as Twitter's CEO is deep. His work over the past 10 years has been transformational. I'm deeply grateful for his skill, heart, and soul. It's his time to lead," Dorsey said in a press release.
Agrawal, Dorsey's replacement, has been with Twitter for more than a decade and has been chief technology officer since 2017.
Dorsey will remain a member of the board until his term expires at the 2022 stockholders meeting.
Bret Taylor was named the new Chairman of the Board, succeeding Patrick Pichette who will remain on the Board and continue to serve as chair of the Audit Committee.
Shares of the microblogging platform surged 9% in early trading after CNBC was first to report the move using information from an unnamed source, while those of digital payments firm Square Inc, of which Dorsey is also chief executive, were up 3%. Trading in the shares was then suspended ahead of the announcement.
In his last tweet
on Nov. 28, Dorsey had said: "I love twitter."
In early 2020, Dorsey faced calls from Elliott Management Corp. to step down, after the hedge fund argued he was paying too little attention to Twitter while also running Square.
Dorsey fended off this pressure by giving Elliott and its ally, buyout firm Silver Lake Partners, seats on Twitter's board.
This report contains material from Reuters.
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