Nuix (ASX:NXL) to farewell two executives

Company News

by Michael Luu

Troubled data analyst Nuix (ASX:NXL) has announced two new executive-level departures, in the wake of a problematic IPO followed by two consecutive guidance downgrades.

The Macquarie-backed firm will farewell its Chief Financial Officer Stephen Doyle on a mutual agreement, after the company’s continuous shrinkage of forecasts resulted in the elimination of billions of dollars from Nuix’s shares register.

The financial chief’s employment termination will be effective on June 30, as former Star CFO Chad Barton will step up as a caretaker for the role for the duration of the search for a permanent replacement.

Chief Executive Rod Vawdrey is set to follow suit and hit the exit door when a suitable replacement is selected. Mr. Vawdrey has agreed to remain in his post at least until the end of the financial year. This marks the highest-profile board departure since former Chairman Tony Castagna.

The company had terminated a consultancy agreement and severed ties with former Chairman Tony Castagna, in light of the ongoing investigation into alleged violations of corporate laws to assess the legitimacy of Dr. Castagna’s $80 million pay day on the IPO.

The decisions have come in the midst of Nuix’s board restructure. The company has installed an independent board review task force designed to enhance oversight and address issues recently raised by investors and market analysts. The body will operate in conjunction with external advisors and Nuix’s compliance division.

Shares in Nuix (ASX:NXL) are trading 1.9 per cent higher at $2.70

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