Stock Tumbles As Pandora Names Founder Tim Westergren CEO In A Broad Executive Restructuring
[UPDATE] Tim Westergren has long been the public face of Pandora, preaching his Music Genome gospel to literally anyone who would listen. (I watched him try to explain internet radio to a confused AARP convention audience almost a decade ago.) Pushed aside in the board room as the company grew and went public, Westergren is now back in charge as Pandora's new CEO.
UPDATE: Pandora stock fell 10% as of mid-day Monday to $9.83 per share on news of an executive shakeup.
Brian McAndrews is out and founder Tim Westergren is in, as the CEO of Pandora, effective immediately. The move is part of a broader restructuring at Pandora, aimed at restoring investor confidence and in anticipation of a possible future sale.
Westergren as CEO of Pandora is likely good news for artists.
A former touring musician, Tim Westergren has always been a champion of Pandora's efforts to provide artist data and marketing opportunities. “I am incredibly excited about the future of Pandora. We're on the cusp of realizing an extraordinary vision: fundamentally changing the way listeners discover and enjoy music, and the way artists build and sustain their careers," said Westergren. “We are pursuing a once-in-a-generation opportunity to create a massive, vibrant music marketplace. We have the audience, the technology infrastructure, the monetization engine and most importantly the right team with the passion and commitment to do it."
Pandora also introduced a new management structure:
- Mike Herring has been named President and Chief Financial Officer
- Sara Clemens was named Chief Operating Officer, focuses on growing and scaling the business and operating new ventures. Her responsibilities include music makers, Ticketfly, international, human resources and corporate development.
- Chris Phillips is now Chief Product Officer responsible for product, engineering and marketing.
Current independent member Jim Feuille is Chairman of the Board. "Tim is the ideal CEO for Pandora as we embark on our next phase of growth," he said in a statement. "As the original founder, Tim carries the vision for how Pandora can transform the music industry and he is uniquely able to connect with listeners, music makers and employees."
Pandora Confirms Revenue Targets
Pandora also reaffirmed its previously announced revenue and adjusted EBITDA guidance. The company expects to come in at the high end range of revenue and adjusted EBITDA guidance for the quarter, and reaffirmed its 2016 full year targets.