Philadelphia -- Capping a turbulent summer for maternity apparel retailers, Destination Maternity CEO Ed Krell has resigned effective immediately, and will be replaced by Anthony Romano, former CEO of Charming Shoppes, Inc.
Krell’s departure was announced less than two weeks after his company’s unsuccessful takeover of rival retailer Mothercare. The $446 million offer by Destination Maternity was deemed too low, prompting Krell to say he was “disappointed that the shareholders of Mothercare have not supported our proposal," and that Destination Maternity would not be raising the bid.
Krell started his tenure at Destination Maternity as CFO in 2002 and has served in the chief executive spot since 2008.
"After leading the team that significantly strengthened the company over the past six years as CEO, the board and I decided that this was a logical time for a change in leadership at the company, and a logical time for me to pursue other opportunities,” said Krell in a statement.
Incoming CEO Romano, 52, joined Charming Shoppes in 2009 as executive VP and was named CEO in 2011, leading a turnaround of the struggling retailer that delivered the first operating profit in four years and, ultimately, a sale to Ascena Retail Group in May 2012. Romano remained president and CEO of Charming Shoppes post-sale, departing in March 2013.
"I look forward to working with the company's many talented employees to grow the business by deepening our understanding of our customers and translating this knowledge into even more exciting collections and experiences," said Romano of his new position with Destination Maternity.