CEO, Board Members Exit Australia's Quickflix; Trading Still Suspended

The CEO and two board members of Australian online DVD rental and streaming service Quickflix are leaving the company. Quickflix last week requested its stock be temporarily suspended from trading in Australia, pending an announcement of a new strategic investor. That suspension was expected to be short-lived but will now remain in effect until late next week. Today, the company announced CEO Chris Taylor had resigned and will leave in March 2013. Founder and exec chairman Stephen Langsford will assume the role of CEO at that time. Also, non-executive directors Justin Milne and Susan Hunter are resigning from the board, although Hunter will remain as company secretary. HBO paid $10.7M for a 15.7% stake in Quickflix in February, but the service took a $1.87M operating loss in the quarter ending September 30 as its cash reserves dwindled to $2.28M. The company has 115,592 paying subscribers. In a statement today, Quickflix said 'negotiations continue with regard to the future funding of the Company. The Directors and management are currently pursuing several options and working through a restructuring plan to reduce costs and capital requirements. It is likely the Company will remain in voluntary suspension until Thursday, 29 November 2012.'

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