Loblaw Companies (L), Canada's largest grocery and drugstore chain, has named European retail executive Per Bank as its new president and chief executive officer (CEO).
Galen Weston, the current president and public face of Loblaw, will step back from the company’s daily operations but remain chairman of Loblaw, as well as chairman and CEO of holding company George Weston Ltd.
Robert Sawyer, Loblaw’s current CEO, plans to retire at the end of this year.
Per Bank is currently CEO of Danish grocery retailer Salling Group. He will officially begin in his new role at Loblaw in early 2024, the company said.
Loblaw and other grocery chains have come under public scrutiny as food prices in Canada remain elevated due to high inflation.
Earlier this year, Weston and other grocery executives were called before a parliamentary committee in Ottawa and questioned about whether they are profiting from elevated food prices, a charge they all denied.
However, earlier in April, it was revealed that Galen Weston’s compensation rose 55% in 2022 to $8.4 million. News that led to some criticism as Canadians struggle to afford groceries.
Loblaw announced earlier this week that it will spend $2 billion to expand and renovate its store network, an investment the company says will create 6,000 jobs across Canada.
As for Per Bank, the new CEO of Loblaw worked his way up through the retail sector over the last 30 years.
In 2012, Bank became CEO of Salling Group, which operates department stores, supermarkets, and discount stores in Scandinavia. Under his leadership, the company has grown its market share by more than 20%.
Loblaw’s stock has risen 4% in the last 12 months to $122.79 per share.
