OpenText appoints James McGourlay as interim CEO in leadership shakeup

WATERLOO, ON - OpenText Corporation (NASDAQ:OTEX) (TSX:OTEX), a $7.86 billion enterprise information management company with impressive 75.9% gross profit margins, announced Monday the immediate appointment of James McGourlay as Interim Chief Executive Officer, replacing Mark J. Barrenechea who has departed after 13 years with the company.

McGourlay, a 25-year veteran of OpenText, previously served as Executive Vice President of International Sales, overseeing operations in Asia, Japan, Latin America, and advancing markets. According to InvestingPro, the company has maintained strong financial health with consistent dividend payments for 13 consecutive years and a current dividend yield of 3.56%.

The company has established an Executive Committee to support the leadership transition, with P. Thomas Jenkins appointed as Executive Chair and Chief Strategy Officer. The committee includes McGourlay, Paul Duggan, Todd Cione, Cosmin Balota, and Michael Acedo. Major-General (Ret.) David Fraser will serve as independent Lead Director.

In conjunction with the leadership changes, Savinay Berry has been promoted to Chief Technology Officer from his previous role as Executive Vice President and Chief Product Officer.

OpenText also announced it will continue exploring "portfolio-shaping opportunities" to enhance focus on its core Information Management for AI business, though the company noted there is no guarantee this will result in any transaction.

"After a thorough review of the business and its performance, and as we look ahead to the Company’s future, the Board believes there is an opportunity to enhance shareholder value by growing revenue in our core Information Management for AI business and redeploying capital from the non-core assets," said Jenkins in the press release statement.

The Board has formed a CEO Search Committee comprising independent directors to identify the company’s next permanent chief executive and will retain an executive search firm to assist with the process.

OpenText provides cloud and AI solutions for business information management to organizations globally. InvestingPro analysis suggests the stock is currently trading below its Fair Value, with analysts maintaining a positive outlook on the company’s profitability. For detailed insights and additional ProTips about OpenText, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

In other recent news, Open Text Corporation reported strong financial results for the fourth quarter of 2025, surpassing both earnings and revenue forecasts. The company’s earnings per share reached $0.97, exceeding the expected $0.82, while revenue totaled $1.31 billion, above the $1.28 billion forecast. Barclays responded to these results by raising its price target for Open Text to $33.00 from $29.00, maintaining an Equalweight rating. The research firm noted that the company’s fourth-quarter performance might signify a turning point, highlighting its highest top-line beat since the third quarter of 2023 and its best organic growth level in fiscal year 2025. These developments reflect positively on Open Text’s recent performance and future potential as perceived by analysts.

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