- Push-out Score determined
- After around nine years in the position
- David Coles taking over in the interim
- Search for a successor
(exechange) — Marietta, Georgia, July 2, 2018 — Pete Petit, chief executive of MiMedx, leaves. It is an abrupt change. As announced by MiMedx Group, Inc. in a news release and in a regulatory filing published on Monday, July 2, 2018, Parker H. (Pete) Petit has left his post as Chief Executive Officer at the biopharmaceutical company after around nine years in the role, effective June 30, 2018.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past 12 months was 9.5 years, according to data compiled by exechange.
MiMedx will undertake a search for a successor.
Petit’s duties will be taken over in the interim by David J. Coles, currently Managing Director of Alvarez & Marsal.
David Coles is about 24 years younger than Pete Petit.
Petit’s move is part of a management shake-up also involving the position of President and Chief Operating Officer.
“Information the Audit Committee has identified through its previously announced independent investigation”
The management change is explained as follows. MiMedx said in a fairly blunt statement: “These resignations, which follow the recent departures of the Company’s Chief Financial Officer and Corporate Controller and Treasurer, are based on the Board of Directors’ business judgment regarding the Company’s leadership and direction, and arise, in part, from information the Audit Committee has identified through its previously announced independent investigation. This investigation is ongoing and there may be other actions taken based, at least in part, on information from the investigation.”
Precise information about Petit’s future plans was not immediately available.
MiMedx said: “Parker H. “Pete” Petit has resigned from his roles as the Company’s Chairman of the Board and Chief Executive Officer but currently remains a director on the Board.”
MiMedx further said: “MiMedx Group, Inc. … announced the resignation of Parker H. “Pete” Petit as Chief Executive Officer and Chairman of the Company’s Board of Directors …, effective as of June 30, 2018.”
Share price decline
The change follows a sharp decline in the share price of MiMedx Group, Inc. since January 2018.
In the position of CEO since 2009
Petit joined the Company as Chairman of the Board of Directors, Chief Executive Officer and President in February 2009.
From May 2008 until he joined the Company, Petit was the President of The Petit Group, LLC, a private investment company.
Prior to that, Petit was the Chairman and CEO of Matria Healthcare, Inc., (Nasdaq: MATR), which was sold to Inverness Medical Innovations, Inc. in May 2008.
Matria Healthcare was a former subsidiary of Healthdyne, Inc., which Petit founded in 1971.
Petit served as Chairman and CEO of Healthdyne and some of its publicly traded subsidiaries after Healthdyne became a publicly traded company in 1981.
Petit received his bachelor’s degree in Mechanical Engineering and Master of Science degree in Engineering Mechanics from Georgia Tech and an MBA degree in Finance from Georgia State University.
At Georgia Tech, Petit funded a professorial chair for “Engineering in Medicine,” endowed the Petit Institute for Bioengineering and Bioscience, and assisted with the funding of the Biotechnology Building, which bears his name.
At Georgia State University, he assisted with the funding of the Science Center building which also bears his name.
In 1994, he was inducted into the Technology Hall of Fame of Georgia. In 2007, he was inducted into the Georgia State Business Hall of Fame.
Petit serves as a member of the Board of Directors of the Georgia Research Alliance, which is chartered by the State of Georgia to promote high technology and scientific development in the State. In October of 2011, Petit was inducted into the National Academy of Engineering.
He serves as a member of the Board of Directors of Intelligent Systems Corporation (NYSE Amex: INS).
Petit was nominated as a director due to his extensive healthcare business experience and leadership success.
Push-out Score determined
The Push-out Score™ determined by exechange suggests that push-out forces have contributed to the change.
Read the full story in the exechange report 28.2018 ($).