Today after the bell, Oracle announced that its long-time premier Larry Ellison is no longer its CEO. Former HP CEO Mark Hurd will take over the job in partnership with Safra Catz. Catz will manage finance and manufacturing, while Hurd will handle sales.
Ellison will take on the titles of Executive Chairman of the Board and CTO. Hurd left HP under negative circumstances, including allegations of sexual harassment.
In after-hours trading, Oracle’s stock is off 2.5 percent, taking an immediate hit following the news. Ellison was known for his leadership and management style. He infamously skipped a keynote that he was scheduled to speak at to watch a yacht race.
The co-CEO structure isn’t particularly normal. I’ve asked the company to comment on its new leadership hierarchy. Regardless, to have Ellison step down as the CEO of the company that he ran for so long is noteworthy. Long an industry stalwart, Ellison is known both up and down the Valley.
Oracle closed the day worth north of $180 billion. The company had more than $11 billion in revenue in its most recent quarter.
It isn’t clear whether investors are skittish about the new co-CEO appointments, or the departure of Ellison itself is the catalyst. It’s time to start a new era for Oracle.