Cantel CEO Jorgen Hansen leaves abruptly

  • Push-out Score determined
  • After about two and a half years in the position
  • Praise, thanks and good wishes for Hansen
  • George Fotiades taking over
  • Hansen kept it short and said 54 words

(exechange) — Little Falls, New Jersey, March 5, 2019 — Jorgen Hansen, chief executive of Cantel, leaves. It is an abrupt change. As announced by Cantel Medical Corp. in a news release on Tuesday, March 5, 2019, Jorgen B. Hansen leaves his post as Chief Executive Officer at the maker of medical equipment after about two and a half years in the role, effective immediately.

No company wants a CEO to flame out in the first years.

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 8.1 years, according to data compiled by exechange. Only 23 percent of the CEOs who departed over the past 12 months left the position within three years.

Jorgen Hansen’s duties will be taken over by George L. Fotiades, most recently Operating Partner of Five Arrows Capital Partners.

Already a director

Fotiades is already a director of Cantel. Often a board member is a last resort, someone who is turned to in desperation when a company cannot find suitable candidates. On the other hand, directors-turned-executives represent a blend of outsider and insider.

They don’t have the constraints of a pure insider when it comes to leading painful changes or making unpopular decisions, and they have more company knowledge than a pure outsider.

Having been a director, Fotiades understands the expectations and dynamics of the board and has knowledge of Cantel’s organization, risk-management practices and strategy.

“The ideal candidate to lead Cantel at this juncture”

A reason for Jorgen Hansen’s sudden departure from the CEO post was not explicitly provided. Charles M. Diker, Chairman of the Cantel Board, said: “On behalf of the Board, I am very pleased to appoint George as Cantel’s new President and CEO.  His experience leading companies through significant growth, creating organizational capabilities on a global scale, and integrating acquired businesses make him the ideal candidate to lead Cantel at this juncture.”

Precise information regarding Jorgen Hansen’s future plans was not immediately available.

“Resigned”

Cantel said that George L. Fotiades “succeeds Jorgen B. Hansen, who has resigned from the Company and its Board of Directors.”

Share price decline

The announcement follows a decline in Cantel Medical Corp.’s share price of 44 percent since May 2018.

Chaired by Charles M. Diker

Cantel Medical Corp. is chaired by Charles M. Diker.

Diker has served as Chairman of the Board since 1986 and has been a member of the Office of the Chairman since April 2008.

In the position of CEO since 2016

Jorgen B. Hansen has been the President of Cantel Medical Corp. since November 07, 2014 and its Chief Executive Officer, Member – Office of the Chairman and Director since August 1, 2016.

Hansen has served as President of the Company since November 2014.

Prior thereto, from November 2012 to July 2016, he served as COO of the Company, and from November 2012 to November 2014, he served as Executive Vice President of the Company.

He also served as President and CEO of Medivators Inc., a subsidiary of the Company from November 2012 to July 2015.

Prior to joining the Company, Hansen had global leadership positions with increasing responsibility within the healthcare and medical devices industry for over fifteen years.

Most recently, he was Senior Vice President, Global Marketing, Business Development, Science and Innovation for ConvaTec Corp.

Push-out Score determined

The Push-out Score™ determined by exechange gauges the likelihood that a manager was pushed out or felt pressure to leave the position.

exechange reached out to Cantel and offered the company the opportunity to comment on the score.

Read the full story in the exechange report 10.2019 ($).