Redbubble, a global marketplace which coordinates the print and distribution of bespoke artwork, has a new interim CEO with the company’s founder and largest shareholder Martin Hosking stepping back into the role.
The leadership change was prompted by the termination of former CEO Barry Newstead’s role after 18 months in the job.
Redbubble has undertaken a review of strategy and its operations. Following these extensive deliberations, the non-executive directors have decided that a change in leadership is necessary.
Redbubble chairman Richard Cawsey said in a statement to the Australian Securities Exchange.
Cawsey thanked Newstead for his contribution which began at Redbubble in 2013.
“Barry has been an important part of the business since 2013, having previously served as COO and then as CEO for the past 18 months. We wish him every success in his future endeavours,” Cawsey said.
In a conference call on Wednesday Cawsey further explained the decision to terminate Newstead as CEO.
“We have been disappointed by the company’s growth. As the prospects of growth did not return, management and the board started a thorough review of strategy and operations. Following these extensive deliberations, the board came to the view that a change in leadership was required and so the decision was made to terminate the CEO,” Cawsey said.
The company is due to hand down its half year results on February 26, which it says are in line with expectations.
Cawsey remained confident about the future however.
“This is a unique business that is difficult to replicate and we are increasingly confident that growth is, can and will emerge in our core Redbubble business. The company’s focus must be on the core business, while investing in opportunities in front of us to further entrench our position and create value for our shareholders, employees, artists and partners.”
Cawsey said the future focus for the business is on core transaction areas specialising in the quickly growing Fan Art partnerships. It will also seek to increase the product release cycle and improve its SEO.
Newstead wished the team well in the future.
“I am proud of my track record at RB Group and especially of the successful fundraising, acquisition and embedding of TeePublic and hitting the key milestone of our first positive operating EBITDA as a listed company in our 2019 FY,” Newstead said.
“This is a business with great people, huge potential and real momentum which is only going to get more attractive for artists and content creators. I wish the team all the best.”
Redbubble was launched in 2006 and provides artists and designers from around the world an online marketplace where they can sell their designs. The designs are sold printed onto stationery, apparel, bags and wall art amongst others.
At the time of writing Redbubble’s shares were trading at $1.65.
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.
Sign up to the Sprinter newsletter