Groupon has named Eric Lefkofsky as its new chief executive officer, replacing former CEO and cofounder Andrew Mason, who was ousted by the company back in March.
The news was announced during Groupon's earnings release , which saw the company generate $608.7 million in Q2, a 7.1 percent rise from Q1, but still lost $7.57 million in net income.
Lefkofsky, who's Groupon's largest shareholder and biggest supporter, has a 17 percent stake in the company, so It's not that surprising that the company's board choose Lefkofsky as it new head. He caused quite a stir back in 2011, telling Bloomberg News that Groupon would become “wildly profitable.” That hasn't been the case as of yet.
Shares of the company rose by 19 percent on the news, up to $10.34 from $8.72, a 1 percent jump. Overall Groupon is up 79 percent this year despite the net loss.
The online deals maker's massive push to mobile helped it tremendously. 50 percent of its North American transactions came from mobile devices says the company, up 30 percent from last year.
via Examiner National Edition Gadgets & Tech Channel Articles http://www.examiner.com/article/groupon-s-new-ceo-is-also-it-s-biggest-shareholder?cid=roadrunner