- Push-out Score determined
- After 17 years in the position
- Neil Shah taking over
- Jay Shah will remain as Executive Chairman at Hersha
- Jay Shah said 123 words
(exechange) — Philadelphia, Pennsylvania, September 22, 2022 — Jay Shah, chief executive of Hersha, leaves his position. As announced by Hersha Hospitality Trust in a news release and in a regulatory filing published on Thursday, September 22, 2022, Jay H. Shah leaves his post as chief executive officer at the owner of hotels in urban gateway markets and regional resort destinations, after 17 years in the role, effective December 31, 2022.
It is the end of an era.
Jay Shah’s duties as CEO will be taken over by Neil H. Shah, currently President and Chief Operating Officer at Hersha Hospitality Trust.
Jay Shah is the son of Hasu P. Shah, the Company’s Chairman of the Board and Class II Trustee Nominee, and the brother of Neil H. Shah, the Company’s President and Chief Operating Officer.
“Planned succession”
Jay Shah’s departure from the CEO post is explained as follows. Hersha said: “Hersha Hospitality Trust (NYSE: HT) (“Hersha” or the “Company”), owner of high-quality hotels in urban gateway markets and regional resort destinations, today announced that its Founder, Hasu P. Shah, intends to retire as Chairman of the Board of Trustees on December 31, 2022, after 38 years with the Company. As part of the planned succession, the Board has selected Chief Executive Officer Jay H. Shah to become Executive Chairman of the Board, and President and Chief Operating Officer Neil H. Shah to become President and CEO and join the Board of Trustees, both appointments to be effective as of January 1, 2023. The Company will be eliminating the role of Chief Operating Officer.”
“Retirement”
Hersha said: “On September 16, 2022, in accordance with the Company’s Corporate Governance Guidelines, Mr. Jay H. Shah announced his retirement and resignation from his position as Chief Executive Officer (“CEO”) of the Company, effective December 31, 2022.”
“Not due to any disagreement”
“Mr. Jay H. Shah’s resignation is not due to any disagreement with the Company on any matter relating to the Company’s operations, policies or practices,” Hersha said.
Share price decline since September 2017
The announcement follows a decline in Hersha Hospitality Trust’s share price of 52% since September 2017.
In the position of CEO since 2006
Jay Shah became CEO of the Company in 2006.
Jay Shah has been Chief Executive Officer and a trustee since 2006.
Prior thereto, he had served as the Company’s President and Chief Operating Officer.
Prior to joining Hersha, Shah formed Shah & Byler, LLP, a Philadelphia-based law firm specializing in real estate and construction.
Earlier, Shah was also a consultant at the former Coopers & Lybrand LLP, now PricewaterhouseCoopers.
Shah served as a legislative assistant to the late Senator John Heinz on Capitol Hill and has also worked with the Philadelphia District Attorney’s office. Shah serves on Cornell University’s Dean’s Advisory Board for the School of Hotel Administration and is also a member of American Hotel & Lodging Association’s Board of Directors, American Hotel & Lodging Association’s Investment Roundtable, the Philadelphia CEO Council for Growth, Young Presidents’ Organization, the Chief Executives Organization, and the President’s Leadership Council for Thomas Jefferson University and Jefferson Health.
In 2018, Jay Shah was named Hotelier of the World by Hotels Magazine and is a past recipient of the Cornell University Hospitality Innovator Award.
Shah earned a Bachelor of Science degree from the Cornell University School of Hotel Administration, an MBA from the Temple University Fox School of Business, and a Law degree from Temple University Beasley School of Law.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding Jay Shah’s move on a scale of 0 to 10.
exechange reached out to Hersha and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 39.2022 ($).