Medlab Clinical (ASX:MDC) has just announced a change to its board.
Medlab Clinical, an Australian Biotech focused on delivery technology to enhance medicines, is announcing today that Laurence McAllister has resigned as a Non-Executive Director of Medlab Clinical. His new interests require him to concentrate on activities in the Northern Hemisphere and this makes it difficult for him to devote effort to Medlab.
Shares of Medlab Clinical have fallen 0.735% 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.