Leading Ocado shareholders oppose plan to oust founder Steiner

Major investor backing for Steiner was reported by the Financial Times, following news that Ocado chair Adam Warby and billionaire shareholder Jörn Rausing had accelerated succession planning for a new chief executive.

Steiner, who co-founded Ocado 26 years ago, has been an executive director ever since.

It is thought that Ocado originally aimed to announce the departure of Steiner in recent days. However, opposition to the idea from some shareholders led to further consideration by the board, the newspaper reported. 

Discussions are continuing. Some of those familiar with the situation said that Steiner’s departure would always be difficult, whenever it occurred.

One Ocado told the FT that the board’s plan for an abrupt removal of Steiner was an “act of self-harm” and said that the process should have been handled more collaboratively.

Steiner has led Ocado’s rise as an online grocer and as an ecommerce retail technology supplier to other retailers, including overseas. Ocado’s valuation rocketed during the Covid-19 pandemic, as consumers moved online en masse, and Marks & Spencer bought into Ocado’s retail business as a joint venture partner.

However, since the pandemic, Ocado’s share price has plummeted, and some international retailers have cut back their partnership plans.