Investing.com -- Lululemon Athletica (NASDAQ: LULU) shares declined 5% in after-hours trading Wednesday following the company’s announcement that it has appointed Heidi O’Neill as its next Chief Executive Officer.

O’Neill will assume the CEO role and join the Board effective September 8, 2026. The appointment follows a comprehensive search process after the company’s previous CEO stepped down in January. Activist investor Elliott Investments had been pushing for another candidate.

O’Neill brings more than three decades of experience in the retail industry, including over 25 years at Nike, Inc. During her tenure at Nike, she helped grow the company from a $9 billion business to a $45 billion global leader. She most recently served as President, Consumer, Product & Brand, where she oversaw the global consumer and product engine.

"Heidi is an inspiring leader and proven, consumer-driven brand strategist, with a rare ability to both imagine a new future for a brand and to create the structure and processes to deliver on that vision," said Marti Morfitt, Executive Chair of Lululemon’s Board of Directors.

Meghan Frank and André Maestrini will continue to lead as interim co-CEOs until O’Neill joins the company in September. At that time, both executives plan to return to their previous senior leadership roles.

O’Neill currently serves on the Boards of Directors of Spotify Technology, Hyatt Hotels, and Lithia & Driveway. She will be based in Vancouver.