Nvidia investors ask board to keep Jensen Huang return option open

Two major Nvidia investors have asked the company's board to keep the possibility of Jensen Huang's return as CEO on the table while conducting a slow and deliberate search for a permanent leader.

Altimeter Capital CEO Brad Gerstner and Atreides Management managing partner and chief investment officer Gavin Baker signed a letter to Nvidia's board that was posted publicly on Friday, Nov. 13. The letter urges the board to "pursue a slow, measured, and deliberate process regarding the future leadership of Nvidia that leaves all options on the table, including the potential return of Jensen Huang."

The investors said Nvidia "will be capably led in the interim by Colette Kress and team." Kress, who served as Nvidia's CFO for 13 years, became interim CEO after Huang resigned as president, chief executive and director on Nov. 12. Nvidia's resignation announcement did not state a reason.

The letter does not call for Huang's immediate reinstatement. It states: "If after all the facts are known the Board decides that it is not in shareholders' best interest to have Jensen Huang back as CEO, that is the Board's prerogative."

Nvidia was Altimeter Capital's largest disclosed equity holding in its most recent SEC filing, with a 9.4 million-share stake worth nearly $1.9 billion as of June 30. Atreides held 1.2 million shares worth nearly $250 million at the end of June. Together the stakes were worth roughly $2.1 billion, or about 0.04% of Nvidia's shares.

Huang's resignation followed reports about personal relationships and amid an independent board investigation. The board's independent directors hired Wachtell, Lipton, Rosen & Katz and former acting US Attorney Joon H. Kim on Nov. 10 to conduct "a thorough and independent investigation." Nvidia has not said when it will finish.

The board told CNBC it was still selecting a search firm and had not formally engaged any candidates, and that "any speculation regarding individual candidates, whether internal or external, is premature." Reports have named Arm Holdings CEO Rene Haas as a potential successor, but Nvidia has not confirmed any candidate.

Nvidia reports third-quarter results on Tuesday, Nov. 17, its first since Kress became interim CEO.

Sources

This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.