Shares in German engineering giant Siemens jumped Monday ahead of a board meeting this week called to consider replacing the group’s current chief executive Peter Loescher.

The Munich-based group’s shares opened more than 2 per cent higher amid speculation that the group planned to announce on Wednesday that finance Chief Joe Kaeser was to take over as head of the company.

Kaeser is “the logical successor,” said Commerzbank analyst Ingo-Martin Schachel.

But Loscher is only prepared to stand down from his post if company Chairman Gerhard Cromme also resigned, according to a report in the German daily Sueddeutsche Zeitung Monday.

However, quoting company sources, the newspaper said Cromme had no intention of stepping aside.

After the solid start to trading on Monday, shares in the group were trading up just 0.4 per cent at 79.98 euros in late morning trading.

Siemens’ announcement on Saturday that its supervisory board would meet to consider the appointment of a new chief executive came after the company issued on Thursday its second profit warning this year.

This sent the company’s stock plunging by 5.98 per cent to 78.62 euros ($ 104.5).

Siemens will release its latest quarterly results on Thursday.

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