Groupon Likely to Operate the Same Under New CEO but May Be Seeking a Buyer

Groupon management continues to play musical chairs. Kedar Deshpande has stepped down as CEO, and the board has appointed Dusan Senkypl as interim CEO. Deshpande will no longer be on the board but will act as an advisor during the transition. Senkypl, who joined Groupon’s board last year, is the co-founder and CEO of Pale Fire Capital, which is Groupon’s largest shareholder with a 22% stake. The move may create a bit more urgency in turning the company around; it could also indicate that the firm is seeking a buyer. Pale Fire has a private equity side, so this move could also be in preparation to sell Groupon’s stake in SumUp, which is valued at around $6 per share (our estimate based on SumUp’s last funding round per PitchBook), much higher than Groupon’s current stock price, and then take the firm private.