Shares of Bed Bath & Beyond spiked more than 21% in extended trading on Wednesday after the company announced Mark Tritton would become its new president and CEO effective Nov. 4.
Tritton will join Bed Bath & Beyond from Target, where he most recently acted as executive vice president and chief merchandising officer. He was instrumental in making shopping at Target seamless for customers whether they were in-store or purchasing items online.
He also led many of Target's recent store revamps, such as introducing private-label products and helped the company secure collaborations with big-name brands such as Vineyard Vines and Hunter Boots.
"Mark's ability to re-define the retail experience and drive growth at some of the world's most successful retailers and brands makes him uniquely equipped to lead Bed Bath & Beyond during this critical time in our evolution," Patrick Gaston, Bed Bath & Beyond's chairman of the board, said in a statement Wednesday. "As an integral contributor to Target's impressive transformation, we will benefit from his vision, leadership, and creativity to successfully transform our business."
Tritton succeeds interim CEO Mary Winston. She has been in that role since May and will continue to serve on its board once Tritton takes over.
His first order of business at Bed Bath & Beyond will be to improve the in-store and online shopping experiences for customers as well as widen the company's merchandise assortment.
Tritton's appointment comes just a week after Bed Bath & Beyond announced that it would shutter 60 stores by the end of 2019, higher than the 40 locations it had previously estimated. It also posted posted mixed second-quarter earnings and its tenth straight quarter of same-store sales declines.
In recent quarters, Bed Bath & Beyond has focused on near-term solutions like setting its cost structure, reviewing and optimizing its asset base and refining its organization structure in order to turn around its business and stabilize sales.
Back in March, the company faced pressure from activists Legion Partners Asset Management, Macellum Advisors and Ancora Advisors. The activists sought to leverage their collective 5% stake in the company to oust the then-CEO Steven Temares. He had been at the helm of the company since 2003 and departed in May.
— CNBC's Jasmine Wu contributed to this report.