Canadian cannabis producer Zenabis gets fourth CEO in two years

Consumer packaged goods veteran Shai Altman took the reins of Zenabis earlier this month as the cannabis producer’s fourth chief executive within the past two years.

The struggling Vancouver, British Columbia-based company announced Altman’s appointment in July.

Altman previously served as president of McCain Foods, a Canadian multinational frozen food company.

Altman took over from Kevin Coft, who was interim CEO from Dec. 11, 2019, to Aug. 27, 2020.

Other Zenabis chief executives in recent years have included:

  • Andrew Grieve (Jan. 21, 2019-Dec. 11, 2019).
  • Rick Brar (Oct. 1, 2018-Jan. 21, 2019).

Most large Canadian cannabis firms replaced their chief executives or chief financial officers after their companies raked up collective net losses exceeding 6 billion Canadian dollars ($4.56 billion) in the first calendar year that recreational cannabis was allowed to be sold.

Regulatory filings show Zenabis shuffling through chief financial officers.

Former CFOs in the past 18 months were:

  • John Hoekstra (until April 21, 2019).
  • Mike Smyth (April 21, 2019-Dec. 31, 2019).

Eric Rasmussen, currently listed as CFO on the company’s website, was appointed at the start of this year.

Zenabis also disclosed a corporate update this week.

The company said it anticipates exports climbing to 1,000 kilograms per month from October through at least the end of this year.

Zenabis completed its first export to Australia in August.

It shipped approximately 4,700 kilograms (10,362 pounds) of cannabis in the first two months of the third quarter of 2020, according to the update. That’s an increase of about 20% over the previous quarter.

Earlier this year, the company laid off a quarter of its workforce and said it planned to sell a cultivation and processing facility.

Shares of Zenabis Global trade on the TSX Exchange as ZENA.

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4 comments on “Canadian cannabis producer Zenabis gets fourth CEO in two years
  1. Jon A Pulverenti on

    I’m a Zena investor and I’ve read a lot of articles about Zena over the course of the last year and this article is the least informed, most preposterous accumulation of misrepresentations of the facts I’ve ever read. Zena is not a struggling company, it’s a startup, with revenue of almost $100,000,000. They are EBITDA positive and expect to become cashflow positive this quarter. Their exports are more than 1000 kg per month, with exports to Israel, Malta, Germany and Australia. All the CEO’s up until Altman have been interim. Coft was overseeing the construction phase of the operations build-out until its completion and then he took the CEO position as an interim. The reduction of staff (or layoffs) were the result of a rightsizing of the company after the initial growth phase, after the fledgling company built out it’s operations. The reduction of employees was not an indication of any problems with the company but just a normal, necessary phase of the growth of a fledgling company not even a year old at that time. Laying the ground work to build out a global operation requires a lot of consultants and other employees and when that initial phase was over, they were able to reduce staff and other overhead. Zenabis is a great company, doing a great job and who, in time will show that it is an incredibly under rated company. They are built for distance not for speed.

    • Frank Columbo on

      Jon, this magazine only publishes negative news about Zenabis, and even when it is positive, they try to find a way to twist it into the negative with veiled innuendos. Just like they never published that Zenabis obtained EU GMP approval because they only know about GMP certification. It seems like that cannot fathom that EU GMP approval from a client is stronger that EU GMP certification. Although the latter gives the badge, but not necessarily any sales or revenue, the former ensures a customer with defined monthly volumes.

      In this article they also shoot themselves in foot, because they state the CEO are usually changed when they have, “raked up collective net losses exceeding 6 billion Canadian dollars ($4.56 billion) in the first calendar year”. Well Zenabis did not rake anywhere close to that, on the contrary it is building slowly and bringing in the right people for the right phase, and the results are showing that.

      • Jon A Pulverenti on

        It is amazing what passes for journalism these days, isn’t it? I’m not even arguing about the stock price. The stock price is, what it is. They have $120,000,000 in debt, 1 billion in stock and warrants and no cash in the bank, I got that but all that aside, they are still a well run, well positioned company who’s management is world class, has made good decisions, has not made many mistakes and will ultimately take this company to great heights in the years to come. They are not on the verge of bankruptcy. They can raise cash when ever they like. This company is a start-up, give them a break. From where they started on January 8, 2019, they are right where they should be, given the market that they are in and the landscape and dynamics of the environment in which they operate. One other ancillary point, they are the low cost producer of cannabis in the industry and as such have taken market share from and created havoc for, many other established producers in Canada. Oh ya, their grow team is also second to none.

  2. buddyboybruce on

    ZENA stock rebound nigh – ideal entry point below $0.10

    Zenabis is now generating meaningful and consistent profits and this will generate institutional and substantial retail interest.

    Management soon to get out on the road and tell the company’s story to retail and institutional investors.
    Zenabis is beginning to distinguish itself from other LPs, differentiating itself through best-in-class cultivars and unique Cannabis 2.0 products.

    Zenabis has catalysts that will allow it to advance, such as new products on the horizon and 2H/2020 bottom line profit.

    Earnings growth will build momentum for ZENA stock in Q4.

    Successful sale of Delta Facility imminent.

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