- Push-out Score determined
- After about a year and a half in the position
- Praise, thanks and good wishes for Gannon
- Robert Mao taking over in the interim
- Search for a successor
(exechange) — San Leandro, California, November 5, 2019 — Chris Gannon, chief executive of Energy Recovery, leaves. As announced by Energy Recovery Inc. in a news release published on Monday, November 4, 2019 and in a regulatory filing published on Tuesday, November 5, 2019, Chris M. Gannon has left his post as Chief Executive Officer at the chemical manufacturing company after about a year and a half in the role, effective November 1, 2019.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who announced their departure over the past 12 months was 7.5 years, according to data compiled by exechange. On an accumulated basis, around 14% of the CEOs who announced their departure over the past 12 months left their posts within two years, and 25% left their posts within three years.
Energy Recovery will undertake a search for a successor.
Chris Gannon’s duties as CEO will be taken over in the interim by Robert Yu Lang Mao, most recently Chairman of Energy Recovery, Inc., as Interim Chief Executive Officer.
It is a reverse generational change. Robert Mao is about 28 years older than Chris Gannon.
Chris Gannon’s departure from the CEO post is explained as follows. Energy Recovery said: “Mr. Gannon submitted his resignation to the Board on Friday, November 1, effective immediately, citing personal reasons for his departure. Mr. Gannon’s resignation was accepted by the Board.”
Precise information regarding Chris Gannon’s future plans was not immediately available.
Energy Recovery said: “Energy Recovery, Inc. (NASDAQ:ERII) announced today the resignation of Chris Gannon as the Company’s President and Chief Executive Officer and as a member of its Board of Directors.”
Energy Recovery further said: “On November 1, 2019, Chris Gannon gave notice to the Board of Directors (the “Board”) of Energy Recovery, Inc. (the “Company”) that he intends to resign from his position as the Company’s President and Chief Executive Officer and as a member of the Board, effective November 1, 2019.”
“Not related to any disagreement”
“Mr. Gannon decision to resign from the Board was not related to any disagreement with the Company’s management on any matter related to the Company’s operations, policies or practices,” Energy Recovery said.
Share price increase since May 2018
The announcement follows an increase in Energy Recovery, Inc.’s share price of 11% since May 2018.
Chaired by Robert Yu Lang
Energy Recovery, Inc. is chaired by Robert Yu Lang.
Robert Yu Lang Mao joined the Energy Recovery Board of Directors in September 2010.
In the position of CEO since 2018
Chris Gannon became CEO of the Company in May 2018.
He was appointed as the interim President and Chief Executive Officer in February 2018.
Previously, Gannon served as the Company’s Chief Financial Officer from April 2015 to August 2018.
Prior to joining Energy Recovery, Gannon was a Managing Director at Conway MacKenzie where he served as a restructuring advisor to the City of Detroit throughout its landmark $18 billion Chapter 9 bankruptcy.
He was instrumental in the development of the City’s Plan of Adjustment, including playing a leading role in crafting the $1.7 billion restructuring and reinvestment plan.
Post-bankruptcy, he was a key architect of the restructuring of the City’s finance operations, as well as in developing the City’s Human Capital program.
Gannon also served in various executive management roles for companies going through rapid change.
Previously, Gannon held leadership roles in private equity with Talon Group and served as a finance operating partner to private equity funds through Caledonia Group.
He began his career in investment banking with a focus on mergers and acquisitions and capital market transactions.
Gannon earned an MBA from The University of Chicago Booth School of Business and a B.S. in Engineering from The University of Michigan College of Engineering.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding the management change on a scale of 0 to 10.
Read the full story in the exechange report 45.2019 ($).