Mark Cubitt, who joined the board earlier this month as chair-elect, will become the executive chair.

He is currently non-executive chair at AIM-listed Beeks Group and Concurrent Technologies. IQE said Jutta Meier will take up the position of interim CEO in addition to her role as chief financial officer. Meier joined IQE in January 2024 from Intel Corporation.

Phil Smith, who has been chair of IQE since 2019, will step down from his role but remain on the board as a non-executive director.

IQE said it will begin the search for a permanent CEO with immediate effect.

Chairman Phil Smith said: "Whilst IQE continues to navigate the semiconductor market recovery, we are confident that the company's renowned technical expertise is well aligned to long-term growth market vectors.

"In Mark and Jutta we have two excellent individuals with the necessary sector and leadership skills to capture that growth in partnership with our customers, employees and broader stakeholders. Their immediate priorities will include a focus on executing on the near-term pipeline as well as cash generation across the group and on unlocking embedded value by pursuing the IPO of our Taiwan business.

"They will examine other efforts to optimise our asset base and ensure that resources are centred around IQE's strategic areas of expertise."

IQE shares tumbled last month after it said it was expecting "more moderate" growth for 2024 and that its performance for the full year was set to be "at the lower end" of the range of analysts’ forecasts.

At 0840 GMT, the shares were down 14% at 12.52p.