Swedish telecom Ericsson has named Mr Carl-Henric Svanberg as its new chief executive, driving its battered stock more than 10 per cent higher.
Mr Svanberg will take over as Ericsson CEO from Kurt Hellstrom on April 8th, Ericsson said in a statement.
Analysts welcomed the move and at in morning trading, Ericsson's share was 11 per cent higher at 6.55 Swedish crowns.
"Ericsson's appointment of a new CEO is great news for the stock. He was previously CEO at Assa Abloy [the world's leading lock maker] and was well respected there," said one telecom equipment analyst in London.
"The incoming CEO has a reputation for excellent cost cutting and acquisition integration and cost-cutting is very much needed at Ericsson," the analyst added.
Ericsson, the world's leading maker of mobile telecoms network infrastructure, has posted losses for the past nine quarters as debt burdened telecoms operators have reduced investments in networks.
Its stock tumbled more than 20 per cent earlier this week after the company reported weaker-than-expected fourth-quarter earnings and said it expected a further fall in sales this year.
The company employs more than 1,500 in the Republic.