PayPal mentioned on Thursday that CEO and president Dan Schulman will retire and go away the corporate on the finish 2023.

Schulman, who grew to become PayPal CEO after the cut up from eBay in 2015, notified the corporate of his determination to retire on the finish of December. He’ll stay a member of PayPal’s board of administrators, which is hiring a search agency to discover a successor.

“I am pleased with what we’ve achieved at PayPal and of the extremely proficient and dedicated individuals I work with day-after-day,” Schulman mentioned in a press release. “Collectively, we’ve reimagined monetary companies and e-commerce, and labored to enhance the monetary well being of our prospects.”

Final summer time, activist investor Elliott Administration amassed an undisclosed stake in PayPal.

In an interview with CNBC’s Kate Rooney on Thursday, Schulman mentioned that he did not expertise any stress from Elliott Administration.

“We truly actually have not spoken a lot this previous quarter,” Schulman mentioned.

“Jesse and I are our good mates,” he mentioned referring to Elliott Administration managing associate Jesse Cohn. “He is been extremely supportive and I am certain this announcement comes as an actual shock and shock as a result of he is been so supportive.”

Schulman added that PayPal’s “board simply needs to seek out the perfect candidate” and that they’re “going to look throughout the corporate and externally we simply wish to make certain we get the very best candidate coming in.”

He mentioned that he felt it was the correct time to announce his departure as a result of PayPal “was in a great place” and “was ready to to ship a robust 12 months” and that board would have sufficient time to discover a successor.

“And the timing was proper,” Schulman mentioned. “It is smart.”

The corporate introduced Schulman’s upcoming departure on the identical day it reported its 2022 fourth quarter earnings.

PayPal mentioned that its web income grew 7% year-over-year to $7.4 billion within the fourth quarter.

In late January, PayPal mentioned it might lay off 2,000 staff, which equates to 7% of the corporate’s workforce. Schulman mentioned in a press release on the time that PayPal was addressing the “difficult macroeconomic setting.”

PayPal shares jumped by about 130% because the 2015 spinoff. However the firm has misplaced roughly three-quarters of its worth because the inventory’s peak in July 2021.

The corporate’s shares rose over 4% in after-hours buying and selling on Thursday to $81.70.

That is breaking information. Please test again for updates.

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