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Lowe’s Companies Inc. (NYSE: LOW) shares saw a handy gain early on Monday after the firm announced that it would soon be implementing its succession plan.

Robert A. Niblock announced that he plans to retire as board chair, president and chief executive officer after a 25-year career with the company. The board of directors has initiated a search for his successor, and in the interim Niblock will remain in his current roles as board chair, president and CEO.

Niblock commented:

After a 25-year career at Lowe’s, including 13 years as chairman and CEO, I am confident that it is the right time to transition the company to its next generation of leadership. Serving Lowe’s alongside our over 310,000 outstanding employees has been my great privilege and the highlight of my professional career. I am extremely proud of all that we have accomplished to position Lowe’s as the omni-channel project authority. As we transition to the next chapter, I have great confidence in the strength of our team and the opportunity ahead for Lowe’s. I look forward to assisting the board with its search, and I am committed to supporting a seamless transition for all of our stakeholders.

Marshall O. Larsen, lead director of the board, added:

On behalf of our entire board and team here at Lowe’s, I want to thank Robert for his leadership, commitment and countless contributions to our company over the course of his distinguished 25-year Lowe’s career. Under his guidance and stewardship, Lowe’s has built a strong foundation for growth and today the company is well positioned as a leader in home improvement with the right strategy in place to drive innovation, accelerate sales growth and enhance profitability. The board is committed to conducting a thorough and comprehensive search to identify the best candidate to serve as our next CEO. We wish Robert all the best in his retirement and look forward to his continued involvement with Lowe’s during this leadership transition.

Over the past 52 weeks, Lowe’s has underperformed the broad markets, with its stock down about 10%. In just 2018 alone, the stock is up just over 1%.

Shares traded up more than 6% early Monday to $89.31, with a consensus analyst price target of $106.10 and a 52-week range of $70.76 to $108.98.

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