As Catena, a prominent player in the digital market, gears up for its Annual General Meeting (AGM) scheduled for May 15th, a significant shift in leadership is on the horizon. The company has its sights set on Erik Flinck, the current chairman of the Swedish digital health start-up dr HUD, to assume the role of chairman at Catena, pending approval at the upcoming AGM.
Flinck brings a wealth of experience from his extensive career, spanning across different industries and sectors. Notable in his professional journey are the two intervals he spent at the strategic management firm Boston Consulting Group (BCG). His latest tenure with BCG, lasting from January 2015 to October 2023, saw him rise to the high-ranking positions of managing director and senior partner. An earlier stint, between March 2005 and November 2012, honed his skills as a principal consultant at the powerhouse advisory firm.
Further bolstering his credentials, Flinck served as head of group strategy for over two years at Sandvik, a global engineering group. It is this combination of strategic know-how and leadership experience that Catena is eager to bring to its boardroom table.
But the prospect of change at Catena does not rest solely on Flinck’s nomination. The company has also set its eyes on Dan Castillo, an investor with Catena since 2015 and who possesses a wealth of experience in listed board work, specifically with Kotipizza. Castillo currently occupies board positions across five different companies, displaying his versatility and breadth of knowledge. His diverse portfolio includes engagements with Quartr.com in the financial technology realm and his work with Hope Studios in the movie production industry.
In addition to these new nominations, the Catena nomination committee is advocating for the continuity of expertise by proposing the reappointment of four existing board members: Øystein Engebretsen, Theodore Bergquist, Adam Krejcik, and Sean Hurley. Their ongoing contributions have been crucial to the growth and stability of the company.
Meanwhile, the prospective new team’s rise comes as three of Catena’s board members—Göran Blomberg, Esther Teixeira-Boucher, and Austin Malcomb—decide against seeking re-election. This decision, combined with the proposed nominations being ratified in May’s AGM, would lead to a downsized yet rejuvenated Catena board consisting of six members.
This reshuffle follows a leadership shake-up marked by the exit of CEO Michael Daly, who has been a part of Catena since April 2018. Daly experienced rapid progression within the company, climbing the ranks from general manager for the US, to general manager for the Americas and president for North America, before attaining the CEO title in March 2021. His departure came shortly after the company disclosed a disappointing financial performance for the year 2023; with revenues taking a significant hit, particularly a 21% drop in US revenue—critical given that 80% of Catena’s revenue stream is US-based.
The readjustment in strategy was imperative, as Catena grapples with a 47% slump in adjusted EBITDA from continuing operations, translating to a reduced margin of 33.0%. The need for a renewed and robust leadership direction was underscored when, on March 5, 2024, Catena marked a new chapter by appointing Manuel Stan as the new CEO. Stan, industry stalwart with nearly two decades of experience and a legacy of 16 years at the Kindred Group, is poised to navigate Catena through its North American and global aspirations from Las Vegas, starting on July 1, 2024.
With these strategic board nominations and the appointment of a new CEO, Catena stands at a critical juncture, aiming to herald a rejuvenated ethos that combines seasoned leadership with innovative strategy, as it navigates the challenges and opportunities in the dynamic digital marketplace.
