While North Texas can count a lot of wins in attracting big-time companies, it’s set to lose a Fortune 500 headquarters amid an executive shake-up.
Plano-based Alliance Data Systems is looking to shift its corporate home to Columbus, Ohio, from Plano, it said in an announcement. The provider of marketing and loyalty services, which already had key operations in the Midwest capital, also said CEO Ed Heffernan is resigning. He will be replaced by Melisa Miller, who had led the company’s key card services business.
The moves come after Alliance Data Systems (NYSE: ADS) recently announced it would sell its Epsilon business to Publicis Groupe for about $4.4 billion after the unit struggled to expand sales. Alliance Data announced in late 2018 that it was exploring strategic alternatives for the Irving-based unit, noting that a sale of Epsilon was a possibility.
North Texas has been adding large companies of late. That includes McKesson, which moved from California, ranks among the largest Fortune 500 companies in the U.S.
“While many functions will remain in Plano, Texas, it is expected that Card Services' current Columbus, Ohio, location will serve as the company's headquarters,” the release said.
Shares of Alliance Data Systems fell 4 percent in midday trading on Monday. The announcement was made after the close of trading late Friday.
Tim King, who has served as card services' chief financial officer, is stepping into the role of chief financial officer. King replaces CFO Charles Horn, who announced his pending retirement from that position in July of last year. Joseph Motes, general counsel, will serve as Alliance Data's chief administrative officer.
"Over the past 18 months Ed Heffernan has been committed to seeing us through a number of strategic initiatives developed by management and the Board," Chairman Rob Minicucci said in the statement. "With completion of the Epsilon transaction expected in the coming months, those initiatives are either completed or well under way and on track for completion.”
