The influencer stock Opendoor experiences a major shake-up in senior management, and the stock price rises sharply
Opendoor Technologies announced the appointment of former Shopify executive Kaz Nejatian as CEO, with co-founder Keith Rabois serving as chairman. This news triggered a surge in stock prices, rising over 30% in after-hours trading on Wednesday. Since hitting a historical low in June, the stock price has increased 14 times, with a market capitalization approaching $6 billion. Prior to the personnel changes, former CEO Carrie Wheeler resigned under pressure from investors. Rabois stated that Kaz is the only suitable candidate
According to Zhitong Finance APP, the online real estate platform Opendoor Technologies (OPEN.US), which has attracted significant attention from retail investors, announced on Wednesday that it has appointed former Shopify (SHOP.US) executive Kaz Nejatian as CEO and co-founder Keith Rabois as chairman. Following this news, Opendoor's stock surged over 30% in after-hours trading on Wednesday. Since hitting a historical low in June, the stock has now increased more than 14 times.
Rabois co-founded Opendoor in 2014 with a team that included Eric Wu. Wu served as the company's first CEO before stepping down in 2023. According to Wednesday's announcement, Wu will rejoin the board.
Prior to this personnel change, Carrie Wheeler resigned as CEO of Opendoor last month under strong pressure from investors. Rabois and hedge fund manager Eric Jackson publicly criticized Wheeler and called for her departure.
Due to its stock price falling below $1, the company faced the risk of delisting from Nasdaq in May of this year. A few weeks later, as Jackson began to heavily promote the company, Opendoor attracted significant interest from retail investors and earned the title of "Meme stock."
With the after-hours stock price increase, Opendoor's current market capitalization is close to $6 billion, compared to less than $400 million three months ago.
Nejatian worked at Shopify for six years, during which he served as Chief Operating Officer and managed the product department of the Canadian e-commerce company.
Rabois stated in a press release, "In fact, there is only one suitable candidate for this position: Kaz. I am pleased that he will serve as CEO of Opendoor."
Opendoor went public in 2020 through a special purpose acquisition company. The company's business is to facilitate buying and selling homes using technology and profiting from it
