EML Payments terminates CEO, shares drop 22%
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The news: Shares in EML Payments have fallen 22% after announcing it had removed chief executive Ron Hynes, with the company having "elected to discontinue" his employment agreement from 21 December 2024. Non-executive chair Anthony Hynes will replace him in an executive chair role.
The numbers: The EML share price dropped 22.2% to 70 cents on the back of the news. The outgoing CEO will be paid six months notice but will not receive equity grants.
His successor will be paid $67,000 a month in the newly created role, amounting to an annual salary of $804,000.
What they said: The EML board said it had "resolved that alternate leadership is required to execute the Company’s strategy, EML 2.0."
“Our energised, passionate and broadened leadership team is building momentum and I’m excited to lend them my further support as we work hard to build a high-performance culture and make 2025 a formative year for EML," Anthony said, describing "significant" upside for a successfully executed strategy.
The context: The board also appointed independent non-executive director Ken Poutakidis as deputy chair. It comes as EML looks to grow revenue and expand its margins after a difficult few years. In January, it liquidated its Irish business after it determined the unit was no longer commercially viable. In September it offloaded unprofitable European payments business Sentenial for $53 million.
The source: ASX
