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Australia's WiseTech says CEO stepping down after media furore about his personal life

Published 10/24/2024, 02:00 AM
Updated 10/24/2024, 05:06 AM
© Reuters. FILE PHOTO: Wisetech Global CEO Richard White speaks at the company's IPO launch in the Australian Stock Exchange in Sydney, April 11, 2016. REUTERS/Jason Reed/File Photo

By Ayushman Ojha

(Reuters) -Australia's WiseTech Global said on Thursday that Chief Executive Richard White will step down, an announcement that follows media reports of allegations about his personal life including payments to a past sexual partner.

White, the founder and biggest shareholder of the logistics software maker, will transition to a long-term consulting role, the company said. Chief Financial Officer Andrew Cartledge becomes interim CEO.

The announcement comes two days after the settlement of a suit against White. The suit had led to a host of allegations being reported by Australian media about White.

"The Board confirms that enquiries into the specific issues raised in recent media coverage remain ongoing," WiseTech said in a statement.

It also cited White as saying it had been "a challenging time for me personally, my family and close friends, and for the company that I have built and truly love."

Reuters was not able to reach White for comment.

WiseTech shares ended 6% lower on Thursday before the company's announcement, bringing losses for the month to 28%.

"Relieving White from his managerial responsibilities to focus on product development is a positive step forward in addressing governance issues without outright dismissal of WTC's visionary founder," wrote RBC Capital Markets analysts.

Founded 30 years ago, WiseTech develops and sells software solutions to logistics service providers to facilitate the storage of goods and information. It reported a 15% jump in underlying profit for the past financial year to A$283.5 million ($190 million).

© Reuters. FILE PHOTO: Wisetech Global CEO Richard White speaks at the company's IPO launch in the Australian Stock Exchange in Sydney, April 11, 2016. REUTERS/Jason Reed/File Photo

White is worth A$10 billion and is Australia's 11th richest person, according to the Australian Financial Review.

($1 = 1.5029 Australian dollars)

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