Vinco Ventures (NASDAQ:BBIG) stock closed higher by 19% today after the company announced that it had parted ways with court-appointed CEO Ross Miller and President Gabe Hunterton, effective immediately. The two executives were previously collecting a total of $115,000 per month as part of their positions.
The company added in its press release that it is “set to appoint a new permanent CEO,” implying that it has already chosen the new executive. Furthermore, Vinco noted that the candidate was subject to an extensive vetting process and has a vision to help the company expand in the long term.
A spokesperson for the company added the following about the news:
“The company is grateful to Mr. Miller and Mr. Hunterton for their services and wishes them both the best in their future endeavors.”
In the meantime, Chairman Rod Vanderbilt will assume the position of Executive Chairman and be in charge of day-to-day operations.
BBIG Stock: Vinco Says Goodbye to Ross Miller and Gabe Hunterton
The departures of Miller and Hunterton follow a scathing letter from former ZASH CEO Erik Finman to Vinco Ventures’ board. In the letter, Finman pointed out several company issues. These included a lack of recent earnings reports, the failure to merge with the remaining 40% of short video platform Lomotif and a failure to promote and update the platform. As a result, Finman said Miller and Hunterton should be removed from their roles. He also claimed that he had the “necessary 67% shareholder vote threshold” to remove the executives himself.
Finman also wrote that he stepped down from ZASH so there would be no conflicts in him becoming Vinco CEO. His letter was originally posted on Twitter.
Now, shareholders are speculating that Finman could assume the position of permanent CEO. Finman has also scheduled a Twitter Spaces call for tomorrow at 12:00 p.m. Eastern, further adding fuel to the speculative flame. Anyone with a Twitter account will be able to access the call.
Following Finman’s letter, Vinco did respond with a cease-and-desist letter. The cease-and-desist requested that Finman correct his previous statements publicly by Dec. 9. However, with Miller and Hunterton gone, the status of that letter is unclear.
BBIG stock shareholders will definitely want to tune into the Twitter Spaces call tomorrow. Finman will likely provide some crucial updates.
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On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.