Ericsson CEO Ekholm to step down, be replaced by Per Narvinger (updated)

Investor AB

Tue 11:29

Ericsson shares up 26% year-to-date
Per Narvinger to take over as CEO on October 1
Ekholm started as CEO in 2017
Adds quote from incoming CEO, share price, background in paragraphs 4-8
STOCKHOLM, June 16 (Reuters) - Ericsson ERICb.ST CEO Borje Ekholm will step down at the end of September and be replaced by current Executive Vice President Per Narvinger, the Swedish telecom equipment maker said on Tuesday.
Ekholm, 63, has been at the helm of Ericsson since 2017 and before that sat on the company's board for nearly a decade. 
"When I stepped in as CEO in 2017, the company faced considerable headwinds. Since then we have turned Ericsson around and emerged as a global communications and technology leader," Ekholm said.
Ericsson share price rose 0.6% by 1055 GMT on Tuesday and is up 26% year-to-date, according to LSEG data.
An engineer by training, Ekholm for many years held key positions at Swedish holding company Investor AB, a major Ericsson shareholder, including as its CEO from 2005 to 2015.
Narvinger, who joined Ericsson in 1997, will take over as CEO on October 1, while Ekholm will act as his executive adviser until June of next year.
"This is a pivotal time in our industry. As AI continues to industrialise, this will increasingly require advanced connectivity solutions, an area where Ericsson is leading," Narvinger said.
Ekholm will also step down from Ericsson's board, the company said.

 (Reporting by Louise Rasmussen, additional reporting by Johan Ahlander, editing by Essi Lehto)
 ((terje.solsvik@thomsonreuters.com; +47 918 666 70))