The move was voluntary, which means Costolo won’t receive any severance once he leaves his role on July 1. He’ll also forfeit his unvested stock options.
In a conference call discussing the transition, Costolo said he’d initiated conversations with the board last year. He said he would remain on the board.
Twitter stock rose as much as 8% in after-hours trading after the resignation announcement.
Many on Wall Street have been calling for Costolo to step down over the past year, as Twitter struggled to add new members and generate more revenue from its ad products.
Find out more at CNN Money.
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