Bikeexchange (ASX:BEX) has just announced a change to its board.
BikeExchange is pleased to announce the appointment of Mr Dominic O'Hanlon as a Non-Executive Director of the Company, effective immediately.
Mr O'Hanlon intends to invest up to A$500,000 in BikeExchange at the same issue price as the Placement and Entitlement Offer announced on 25 May 2022 being $0.02 (2 cents) per share.
He will be paid an annual non-executive director fee of A$60,000 which Mr O'Hanlon has agreed to receive in shares in lieu of a cash payment.
Shares of Bikeexchange have stable following the announcement.
Any change in the make-up of a company?s board can have an impact on a company?s stock price.
Generally, age-related turnovers and voluntary resignations have a marginal impact on the share price.
However, when either the Chairman or another board member is ousted, this can have a significant impact on the stock price.
As the role of the board is to endorse the strategy of the business, changes to the board can have an impact on the strategic direction of the company and therefore it?s future profitability.