wateroperator wrote: With all this in mind, is it any wonder there was a change of command at EAT in June?
That CEO change happened without much explanation as to why, which isn’t exactly a rarity. Usually, a company will say ‘the CEO is pursuing other business opportunities’ or ‘he’s spending more time with his family’ in a news release and not ‘he let $1m+ of pot go missing on his watch’, in an effort to let the prior captain move on with pride intact.
EAT did that initially, but when they had to explain that missing weed, they prefaced the CEO change a slightly different way.
Nutritional High has strengthened its top management position with the appointment of Adam Szweras as CEO in June 2019.
I mean, yes, it has, but you usually don’t want to wave goodbye to the last guy by bragging your new guy is better, even if he would pretty much have to be, considering the mess the old guy left behind.
Mr. Szweras is replacing Jim Frazier, who served as CEO of the Company since July 2016, and has stepped down to pursue other business opportunities.
Oh! There it is, the ‘other business opportunities.’
Mr. Szweras is a securities lawyer and an investment banking professional with a successful track record of incubating and scaling cannabis focused companies. He is also currently a director of several leading cannabis companies including Aurora Cannabis Inc., Harborside Inc. and Quinsam Capital Corp.
So not exactly a changing of the guard, but a sign EAT has recognized it had a habit of walking into the furniture over the last year and has decided to turn on the lights going forward.
The rest of the release is actually pretty detailed and makes for a good read as it pertains to this company looking to correct the shonky way it had been allowed to devolve previously, and gives a little confidence that, if you missed out on the downward slide of early 2019, you might be in a good position to benefit from the re-org going forward.
My guess is, the company was owning their mistakes, and were pretty stoked that nobody bothered reading about them up to this point.
Sorry, EAT!
I will say, if you like a turnaround story, keep an eye on this one as all the signs in their financials point to exactly that. I think credit is due when a company realizes they have to do a fundamental rethink of everything, and will actually clear out execs to make it happen, and do so in plain sight.