Tag Archives: CFO

CFO of Houston-area bank dies unexpectedly

Jeff Powell, the CFO of Spirit of Texas Bancshares, has died unexpectedly. He was 62 years old.

Mr Powell had been the CFO since July 2017 and helped guide the company through its Initial Public Offering in May 2018. The company has its head office in Conroe, TX. It operates 23 full-service branches in the Houston, Dallas/Fort Worth and College Station metropolitan areas and has a market capitalization of $414 million.

Allison Johnson, currently the Chief Accounting Officer, has been appointed the interim CFO. She joined the bank from Florida Community Bank in 2016. She started her career at PricewaterhouseCoopers.

SEC filing – Spirit of Texas – CFO passes away

Health services company begins search for new CFO

Larry McAfee, CFO of US Physical Therapy, has announced he will retire in October 2020. He turns 65 later this month. Mr McAfee has been CFO since joining the company in 2003. He also joined the board the following year.



The company is based in the Medical Center and has a market capitalization of $1.5 billion. The company operates 574 physical therapy clinics in 41 states. It also manages 26 physical therapy facilities for third parties (primarily hospitals) as well as having an industrial injury prevention business.

The company has started a formal search for a new CFO and expect to have a new person in place by the summer. Mr McAfee has a base salary of $500,000.

SEC filing – US Physical Therapy CFO retirement

CFO at seismic company steps down

Steve Bate, the CFO at ION Geophysical, will be stepping down from the CFO role, effective February 1. Mike Morrison, currently VP of Finance and Treasurer, will become the interim CFO. Mr Morrison has been with ION for 17 years.



ION Geophysical provides seismic services to the oil and gas industry and has its head office in west Houston. It has a market capitalization of $126 million.

Mr Bate joined ION in 2005 and became CFO in 2014. After stepping down as CFO, he will remain with the company as Strategic Advisor to the CEO until the end of June.

Mr Bate will receive a severance payment of $750,000, which is two times base salary. Of this, $187,500 will be paid in January 2021, the rest will be paid over 18 months, starting in January 2021. He will also receive a one-time payment of $281,250, representing his 2019 target bonus. This will be paid by February 2020.

In addition, 89,430 shares of restricted stock will become fully vested. This is worth about $0.5 million.

In June, former CEO Brian Hanson left the company with a large severance package. He was replaced by Chris Usher, VP of Operations Optimization.

https://www.prnewswire.com/news-releases/ion-announces-cfo-transition-300979596.html

 

Drilling Contractor appoints new CFO

Noble Corporation has appointed Stephen Butz as its new CFO. He replaces Adam Peakes who left in September.

The company is an offshore drilling contractor. It has its registered head office in London but its operational head office is in Sugar Land.



Mr Butz has relevant experience, having been the CFO of fellow drilling contractor, Rowan Companies from December 2014 until its merger with Ensco in April 2019. Between 2005 and 2014 Mr Butz worked at Hercules Offshore in various financial roles including CFO. Prior to that, he even served as a consultant to Noble.

Mr Butz will receive a base salary of $550,000 and a cash sign-on bonus of $1.1 million. After the appointment was announced, the share price of the company rose 15 cents to $1.08. The company has a market cap of $233 million and debt of $4 billion.

Mr Peakes was paid $450,000 and received a severance of $1 million.

SEC filing – Noble Corp CFO appointment

Newly merged oilfield services group replaces CFO after two months

Nextier Oilfield Solutions, formed from the merger of C&J Services and Keane Group in October 2019, has announced that CFO Jans Kees van Gaalen has left the company. He will be replaced by Kenny Pucheu, who was the VP of Finance of Keane prior to the merger.



Mr van Gaalen was the CFO of C&J, though he only joined the company in September 2018. Greg Powell, the former CFO of Keane, became Chief Integration Officer, while the CEO of the combined group is Robert Drummond, ex CEO of Keane.

According to documents filed as part of the merger, Mr van Gaalen will receive a cash severance payment of $2.7 million. His base salary was $500,000.

Mr Pucheu joined Keane in 2016. Prior to that he spent 15 years with Schlumberger. He will receive a base salary of $375,000.

The current market capitalization of the combined group is $1.3 billion. That’s below the value at the time the deal was announced in June 2019 ($1.5 billion) but above the value when the deal closed ($1 billion).

SEC Filing – Nextier CFO transition

 

Long-time Schlumberger CFO steps down

Long-time Schlumberger CFO Simon Ayat has announced he is stepping down, effective January 22, 2020. He will be replaced by Stephane Biguet, who is currently the VP of Finance for the company.



Mr Ayat joined Schlumberger in 1982 and has been its CFO for the past twelve years. He has a base salary of $1 million, the largest base salary of Houston-area CFOs. After he steps down as CFO he will serve as Senior Strategic Adviser to the company for a period of two years. Mr Ayat will continue to receive his salary and his stock options will continue to vest. He will also be awarded more performance stock options in January 2020.

His exit contract mirrors that given to former CEO Paal Kibsgaard who left the CEO position in July 2019. There had been rumors in the press circulating since last year that Mr Ayat intended to step down. My guess is that he agreed to stay on, pending the CEO transition to Olivier Le Peuch.

Mr Biguet joined the company in 1995 and has served in various financial roles at the company. He will receive a base salary of $770,000

 

SEC filing – Schlumberger – Ayat

 

 

CFO of Frac sand company resigns

Laura Fulton, CFO of Hi-Crush, has resigned, effective 31 December 2019, to pursue another career opportunity.

Hi-Crush has its head office in the Galleria and is a provider of proppant and logistics solutions to the oil and gas industry in North America.



The company went public in 2012 and rode the boom and bust in the fracking industry. At its peak it had a market capitalization of over $1.3 billion. The company currently has a share price of $0.70 and a market capitalization of $69 million.

Ms Fulton has been the CFO since April 2012, joining just prior to the Initial Public Offering. She is also a non-executive director at Targa Resources. Before Hi-Crush she worked at AEI, an energy infrastructure company, and LyondellBasell (for 12 years).

Phil McCormick, VP of Finance, has been appointed as the new CFO. He joined the company in August 2018. Prior to that, he held several positions over nine years at KBR, including Treasurer. He also worked at LyondellBasell for 11 years. Mr McCormick started out at Coopers and Lybrand.

Mr McCormick will receive a base salary of $300,000. Instead of an annual bonus for 2020, he will also receive a retention bonus of $250,000 that will be paid in the summer of 2021.

SEC filing – Hi-Crush

Workforce accommodation specialist appoints new CFO

Carolyn Stone has been appointed CFO of Civeo Corporation. She replaces Frank Steininger. He is staying on at the company as Executive VP of Strategic Initiatives until he retires in March 2020.



Civeo has its head office in downtown Houston. The company provides workforce accommodation services to the oil and gas and mining industries. It has operations in the US, Canada and Australia. The company has a market capitalization of $151 million, though its current share price is only 81 cents.

Ms Stone joined the company in May 2014 as its Controller and Corporate Secretary. Prior to joining Civeo, she was the CFO at Synagro. At that time Synagro was a Houston-based biosolids company that went in Chapter 11 in April 2013. Before that, Ms Stone spent many years working for Dynergy. She started her career at PricewaterhouseCoopers.

Compensation for Ms Stone was not disclosed.

Ms Stone’s appointment means that 10% of all Houston-area public companies have female CFOs. You can see the list of all the companies here.

https://www.businesswire.com/news/home/20191118005882/en/Civeo-Appoints-Carolyn-Stone-Chief-Financial-Officer

 

Weatherford appoints new CFO

Christoph Bausch, CFO of Weatherford International, has resigned effectively immediately. He will be replaced by Christian Garcia, who will begin his new role on January 6, 2020.

Weatherford entered bankruptcy proceedings in July 2019. It is nearing an exit from Chapter 11 that will reduce debt by $6 billion. The bondholders will own 94% of the restructured company. 5% will be set aside for a management incentive plan. Existing shareholders will own the other 1%.



Mr Bausch has been CFO since April 2017. He will receive a severance package of $650,000 (one year’s salary) and a pro-rated bonus for 2019 (not sure how much this will be). Note also that he received a cash retention bonus of $1.3 million in April 2019.

Mr Garcia has been the CFO at Michigan-based Visteon Corporation for the past three years. However, prior to that, he spent ten years at Halliburton including 18 months as interim CFO. In fact, he replaced Mark McCollum, the current CEO of Weatherford, as CFO during Halliburton’s ill-fated proposed merger with Baker Hughes (2015-2016).  At the time of the proposed merger, Mr McCollum was appointed Chief Integration Officer. After the merger fell apart, Mr MCollum was reappointed CFO at Halliburton before becoming the CEO at Weatherford in March 2017.

Mr Garcia will receive a base salary of $675,000 and a one-time sign-on bonus of $500,000. He will also receive a long-term equity award of $2,000,000 that will vest over three years. These will be granted once the company emerges from Chapter 11.

SEC filing – Weatherford CFO

 

Houston biotech company appoints new CFO

CNS Pharmaceuticals, which just went public last week, has officially appointed Christopher Downs as its new CFO.



Mr Downs joins from Innovative Aftermarket Systems LP, a privately held provider of finance and insurance solutions where he was VP of Finance and Treasurer. Prior to that he spent 7 years at InfuSystem Holdings Inc, a provider of infusion systems to oncologists in the US. He is a West Point graduate and has an MBA from Columbia Business School.

CNS doesn’t have any revenues yet and is developing anticancer drugs for the treatment of brain tumors. Based on preclinical data and positive results of the Phase I clinical studies conducted at MD Anderson Cancer Center, the company believes its lead drug candidate, Berubicin, could significantly help in the treatment of glioblastoma, a type of brain cancer that is considered incurable.

The company raised $8.5 million (net of fees) by selling 2.1 million shares at $4, at the low end of its range of $4-$5. Mr Downs agreed to join in September, conditional on the Initial Public Offering being completed.

Mr Downs will receive a base salary of $300,000. He was also granted a 10-year option to purchase 30,000 shares at an exercise price equal to the public offering price per share of the shares sold in the IPO. Mr Downs, who has lived in Houston previously, but currently lives in Utah, will also receive a one-time relocation bonus of $15,000.

Mr Downs replaces Matt Lourie who was the part-time fractional CFO prior to going public.

SEC filing – CNS Pharmaceuticals – CFO