Mind Medicine CFO Quits Ahead Of Release Of 2021 Financial Results

It’s always a positive sign when a chief financial officer resigns the last business day before annual filings are to be presented, right?

The management exodus at Mind Medicine (NEO: MMED) continued on Friday after hours, with the company announcing that its CFO would be leaving the company. Officially, the firms news release classified the departure of David Guebert as a “retirement from his position.”

Having held the role of chief financial officer of Mindmed since its go public transaction in March 2020, the departure of Guebert is the latest in a series of transitions that began last year with the departure of JR Rahn. After Rahn had sold $24.7 million in stock following the firms debut on the Nasdaq, he promptly left the company just weeks later in a $6.7 million settlement with the firm.

Before the year was up, the company also saw its Chief Technology Officer, Bradford Cross, transition from his role, while Chief Scientific Officer Don Gehlert moved to the title of Senior Scientific Advisor, making himself effectively an outside consultant for the company. Roughly ten days later, co-founder Stephen Hurst also left the company, marking the first such departure in 2022.

Commenting on the departure of Guebert, CEO Robert Barrow stated, “Dave leaves us well positioned financially and strategically to create long-term value for shareholders and to deliver on our commitment to patients in need of novel treatment options,” in an apparent nod to the fact that the departure timing reflects poorly on the company given it’s 2021 financial results are set to be released later this morning.

While the news release refers to the departure as a “retirement,” filings with the SEC paint a slightly different picture, with the company instead stating that the parties “agreed to a separation.” Details on whether severance is to be included was not provided, with Guebert’s last day set to officially be March 31, 2022.

Outside of Guebert’s departure, it was also announced that Sarah Y Vinson, a director of the company, notified the company on March 24 that she would not be standing for reelection at the firms annual meeting. She joined the board less than a year ago on May 13, and was also a member of the audit committee.

Lastly, also included in the filing made by the company on Friday with the SEC was data on cash bonuses awarded for 2021 to certain members of management, and details on raises to be received by executives. Robert Barrow, whom was appointed as CEO on December 13, 2021, apparently did such an outstanding job managing the company for the final 19 days of the year, that he received a bonus of $233,411 for his performance during the year – while also receiving other payments of $154,082. His annual salary meanwhile now sits at $565,000.

Mind Medicine last traded at $1.55 on the Neo.

Information for this briefing was found via Sedar and MindMed. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply