TORONTO, Aug. 13, 2018 /CNW/ - Callidus Capital Corporation ("Callidus" or the "Company") (TSX:CBL), today announced effective immediately, Newton Glassman, Callidus' Executive Chairman and Chief Executive Officer, will take a medical leave of absence.
Mr. Glassman is currently undergoing further medical tests and examinations to confirm the extent and seriousness of his conditions. At minimum, Mr. Glassman is advised that he will require two significant operations on his lumbar spine, currently planned for the early fall 2018, followed by a period of intense rehabilitation and recuperation.
In addition, while investigating Mr. Glassman's lumbar spine, tests and examinations discovered significant issues with Mr. Glassman's cervical and thoracic spine that will require further analysis. The examinations also brought forward indications of a possible neurological disorder, which are also undergoing further analysis.
In connection with Mr. Glassman's immediate leave of absence, the Callidus Board of Directors has re-assigned Mr. Glassman's CEO responsibilities to the existing Callidus management team. Further, Mr. Glassman intends to remain as Executive Chair and a Director of Callidus. He has also committed to remain Chair of the Callidus Credit Committee. To the extent deemed necessary in the future by Callidus, Catalyst will provide personnel and/or resources necessary to ensure all of Mr. Glassman's functions at Callidus are fulfilled as seamlessly and efficiently as possible.
Mr. Glassman will remain in his role of Managing Partner of The Catalyst Capital Group Inc. ("Catalyst"). Catalyst owns approximately 72% of the outstanding shares of Callidus.
As previously disclosed, Callidus had initiated a process with an executive search firm and is in discussions with one or more candidates regarding executive positions and therefore expects to accelerate key additions to the Callidus leadership team. The Company intends to continue to deploy capital and focus on growth now that it believes all currently known issues in Callidus' loan portfolio have been carefully considered and, where appropriate, remediated.
Tibor Donath, Lead Director of Callidus, stated, "We appreciate Newton's continued role at Callidus as he addresses this serious medical need and period of rehabilitation. The management team will share responsibilities to deliver on the Company's strategic initiatives and we expect the addition of additional senior personnel in the near-term. We have a number of great candidates that will bring complementary skills to the company as it looks to deploy capital and grow our loan portfolio."
About Callidus Capital Corporation
Established in 2003, Callidus Capital Corporation is a Canadian company that specializes in innovative and creative financing solutions for companies that are unable to obtain adequate financing from conventional lending institutions. Unlike conventional lending institutions who demand a long list of covenants and make credit decisions based on cash flow and projections, Callidus credit facilities have few, if any, covenants and are based on the value of the borrower's assets, its enterprise value and borrowing needs. Further information is available on our website, www.calliduscapital.ca.
SOURCE Callidus Capital Corporation
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