Brian Niccol, CEO of Chipotle Mexican Grill
Adam Jeffery | CNBC
Chipotle Mexican Grill founder Steve Ells has stepped down from the chain’s board and relinquished his title of executive chairman just after recent CEO Brian Niccol was named chairman.
“Brian has proven that he is completely the correct individual to guide Chipotle ahead and I’ve under no circumstances been far more self-assured about the upcoming of this excellent firm,” Ells stated in a statement. “I am specially grateful to the employees and our valued buyers over the very last 27 yrs who assisted make Chipotle the unmatched model in quickly casual dining it is nowadays.”
Ells served as chief govt of Chipotle right up until November 2017. He founded the burrito chain in 1993, opening the first locale around the University of Denver campus and escalating it to much more than 2,000 areas. He stepped down as CEO as the firm struggled to rebound from its food items protection woes, which plagued Chipotle for two many years.
Niccol grew to become Chipotle’s CEO in early March. Under his leadership, the restaurant has found its product sales bounce again and its inventory price get to all-time highs.
Chipotle also announced Friday that Matthew Paull and Paul Cappuccio will not stand for re-election to the board at the firm’s once-a-year shareholder conference in Could. After the meeting, Chipotle will have seven directors on its board, 6 of whom are impartial.
Paull formerly served on Chipotle’s board when McDonald’s owned a greater part stake in the chain. The former McDonald’s CFO was reappointed to the board in December 2016 as component of the chain’s arrangement with Monthly bill Ackman’s Pershing Sq. Capital Administration. Paull serves on the advisory board for the hedge fund, which has been trimming its financial investment in Chipotle. Pershing’s other appointee Ali Namvar will keep on being on the board.
Cappuccio, who is standard counsel of Time Warner, has also served on the board since December 2016.
Chipotle’s inventory, which has a market place benefit of $19.6 billion, was down additional than 2% in premarket buying and selling, against a backdrop of widespread advertising. In the last 12 months, shares are up 15%.