An Australian hotel and bottle shop giant is looking for a new leader as its executive chair heads for the exit over disagreements with the board.
Ari Mervis will step down from Dan Murphy's and BWS owner Endeavour Group a few months after replacing former chief executive Steve Donohue, who also left after a stoush with directors.
Investors welcomed the news, sending EDV shares more than seven per cent higher shortly after the opening bell before easing to $4.21 an hour later, a 5.8 per cent premium on Friday's closing price.
Endeavour's share price has struggled during Mr Mervis' reign, with sales and profits failing to grow over the 2024 financial year.
Lead independent director Duncan Makeig will become interim chair and head the search for a new independent chair, while chief financial officer Kate Beattie will serve as interim chief executive until Jane Hrdlicka takes the reins on January 1, 2026.
"The board and management are undertaking a strategy refresh which will include a portfolio-wide examination of the group's performance, key business drivers and execution across Retail, Hotels and the Pinnacle business, with the clear aim of maximising long term shareholder value," Mr Makeig said in a statement.
"We are confident in Kate's ability to continue leading the business as interim CEO through to Jayne's commencement in January."
The board thanked Mr Mervis for his service, which will end immediately.
Endeavour will announce its full-year results on August 25, with expected sales of $12.06 billion and an expected statutory net profit after tax of between $420 million and $425 million.
The figures are slightly weaker than 2023/24's $12.3 billion in group sales and net profit after tax of $512 million, and will include a number of one-off restructuring and redundancy costs and the closure of its Prowine bottling facility.
"The group's balance sheet remains in good order," the board said in a statement.
"Solid cashflow generation during F25, reflecting a disciplined approach to capital management, has driven a reduction in the group's net debt."
