29 CIO stock

Baby goods retailer Mothercare has announced the resignation of its CEO Simon Calver, with immediate effect.

In a statement, the retailer said that Calver's e-commerce expertise had helped it develop its multi-channel strategy.

However, last month Mothercare reported a one per cent fall in online sales, which it partly blamed on a decision to charge for delivery.

Mothercare did not provide a reason for Calver's departure. He will be paid £250,000 in lieu of six months' notice - he was entitled to 12 months' notice - and £44,540 as compensation for contractual benefits including pension contribution.

Alan Parker, chairman of Mothercare, said: "Since Simon Calver joined Mothercare plc in April 2012, under his leadership the company has made progress in implementing the Transformation and Growth plan. In particular, Simon Calver's e-commerce expertise has allowed Mothercare to accelerate its development as a multi-channel retailer in the UK.

"We wish him well in the future. Mothercare has a strong executive management team which is very capable of running the business in the interim while the search for a new CEO is under way."

Calver will leave the company at the end of March 2014, and provide transitional support until then.