Managing director and finance director quit Surgical Innovations
SURGICAL INNOVATIONS, the listed business which claimed to be back on track after losing £10m in 2014, has been hit by the resignations of its chief executive and finance director on the same day.
Chris Rea handed in his notice as interim managing director a year and a day after he was appointed and has left the company.
Melanie Ross, who was only appointed as finance director 70 days ago, has also quit, although she will become interim managing director until her departure in six months’ time.
Last month the company successfully renegotiated its banking covenants with Yorkshire Bank, which are now set at an EBITDA loss of £100,000 for Its first-half adjusted EBITDA loss was £48,000, while last year it made an EBITDA loss of £52,000, although major non-cash impairment charges caused pre-tax losses of £9.8m.
Doug Liversidge, chairman of Surgical Innovations, said: “Chris has been instrumental in stabilising the company through a difficult period. In particular he has made a substantial contribution to product development.
“He has worked tirelessly in the best interests of the company alongside his other commitments and we acknowledge the pressures and frustrations that he has experienced over recent months which have led to this decision.
“Melanie has also made, and will continue to make, a valuable contribution to the stabilisation of the company.”
Mr Rea is the founder of South Yorkshire-based AES Engineering, the holding company for several manufacturing and engineering businesses including AESSEAL, one of the world’s largest mechanical seals manufacturers.
Ms Ross had previously worked at AESSEAL as business development manager, and had been a consultant for Surgical Innovations since October 2014 before being appointed as finance director, company secretary and general manager of the principal trading subsidiary, Surgical Innovations Limited, in August.
Surgical Innovations is a keyhole surgery specialist which last November was forced to scrap plans to build a research and development centre because of its poor trading performance.
