Logitech shares tumble as CEO quits suddenly

Shares in US-Swiss computer accessories maker Logitech plunged on Wednesday after chief executive Bracken Darrell quit with immediate effect to pursue another opportunity.

The announcement, eleased after the close of share trading on Tuesday, caught markets by surprise. Investors responded to the news by sending the shares 11% lower.

Darrell, who became CEO in 2013, will be replaced on an interim basis by board member Guy Getch, the company said.

The leadership change comes after Logitech posted a 22% drop in fourth-quarter sales in May, as a growing economic downturn continued to hinder the company from maintaining pandemic-era growth.

Logitech, which makes accessories like keyboards, mice, and webcams, saw booming sales during the Covid pandemic when many people had to learn or work from home. However, the revenues have tumbled as many return to office work and school.

"I feel this is a good point to hand over leadership," Darrell said, adding he would remain a "customer, shareholder and fan" of the company.

Reporting by Frank Prenesti for Sharecast.com