Pinterest Inc (NYSE:PINS) said long-time chief executive and co-founder Ben Silbermann will step down from the social media platform, passing the reins over to former Google commerce executive Bill Ready.
Shares of Pinterest rose 9% in after-market trading on the news, reflecting a shift away from the company's advertising-based business model to e-commerce initiatives.
Pre-market on Wednesday an opening price of US$20.43, though shares have fallen 45.8% year to date and are down nearly 76% from their 52-week highs.
In Ready, the company gets a veteran of the search giant's commerce and payments divisions, who has also held senior positions at PayPal.
The company, which claims 430mln monthly users, said Silbermann will assume the new role of executive chairman and keep his board seat, while Ready will also join the board.
Silbermann co-founded the company in 2010 and has been CEO since, including overseeing the public listing in April 2019.
During his tenure as CEO, the company faced a series of challenges that ranged from missed quarterly user expectations to several workforce complaints, including two Black former Pinterest employees who filed suits claiming discrimination and retaliation which reportedly became the basis of a California workforce non-disclosure law.