Carrefour SA said Tuesday it will replace its chief executive with a former top manager of Switzerland’s Nestle SA, the culmination of long-simmering tensions over the French retail giants performance and strategy.

Carrefour’s board named Swede Lars Oloffson to replace outgoing CEO Jose Luis Duran, effective Jan. 1.

Speculation over Duran’s future at Carrefour has mounted since last year when the company’s long-standing top shareholder ceded its position to a consortium controlled by French billionaire Bernard Arnault and a U.S. private-equity firm, Colony Capital.

In July, shareholders had voted to change the company’s management structure, creating a board which does not include Duran.