BEIJING, June 3 (UPI) — Twitter has appointed Patrick Pichette as independent chairman, replacing Omid Kordestani, who stepped down on Monday, according tomedia reports. Mr. Picchet, a former CFO for Google and a partner at venture capital firm Inovia Capital, has been on Twitter’s board since December 2018 as an independent director.
Mr. Cordestani will remain a non-employee director of Twitter after he leaves office.
At the beginning of the year, activist investor Elliott Management Corp. bought a stake in Twitter, challenging Twitter CEO Jack Dorsey and even wanting to replace Dorsey. In Elliott’s discussions with Twitter, Elliott proposed a series of proposals to try to improve corporate governance, and the creation of an independent chairman was one step, the sources said. Mr Picchet will become Twitter’s first independent chairman.
Elliott also wants to reshuffle Twitter’s board, where all directors can be re-elected each year. All Elliott did was try to change Twitter, consolidate leadership, and even replace Dorsey. After Twitter’s strategic misstep last year and its share price plummeting, Elliott wants the company to improve operational efficiency and oversight so it can be healthier.
Twitter has compromised, agreeing to add three new directors and set up a committee that will assess leadership, succession and governance issues. It is estimated that the committee members will make their own recommendations before the end of the year. Twitter has added Jesse Cohn, Elliott’s U.S. director, and Egon Durban, Silver Lake’s co-CEO, to the board. Last month, Li Feifei also became an independent director of Twitter.