Alphatec Holdings Inc. 10.07.16
Alphatec Holdings Inc., the parent company of Alphatec Spine Inc., a provider of spinal fusion technologies, is reducing its workforce by 20 percent and losing its chief financial officer (CFO) and treasurer.
CFO Michael O’Neill resigned effective Oct. 5. Dennis Nelson, the company’s vice president of finance and corporate controller, a position he has held since 2011, will serve as the interim principal financial and accounting officer while executives search for O'Neill's replacement. Alphatec Holdings did not give a reason for O'Neill's resignation.
The company's workforce reductiion is part of a broader plan to reduce operating expenses by $20 million following the sale of its international business to Globus Medical Inc. The downsizing also will more appropriately size the company’s resources to better reflect the needs of a U.S.-focused organization.
“I would like to thank Mike for all of his contributions to Alphatec over the past six years,” said Leslie H. Cross, interim CEO of Alphatec Spine. “Today we have a stronger financial foundation—a much improved balance sheet and enhanced liquidity—that positions us to build to a high quality U.S.-focused business in the future. Dennis is a talented and experienced financial leader. Given his intimate knowledge of Alphatec and our financials, we are confident that Dennis will do an excellent job as we engage in our search for a CFO. We wish Mike all the best in his future endeavors. I would also like to express my appreciation to each of the employees affected by today’s announcement for their dedication and many contributions to Alphatec over the years.”
In the wake of the workforce reduction, the company has granted restricted stock units (RSUs) and performance stock-based awards (PSAs) to Craig Hunsaker, Alphatec’s newly appointed executive vice president of people and culture. These inducement awards were approved by the Compensation Committee of the Alphatec Board of Directors on Oct. 4 with an effective date of Oct. 5, and granted as an inducement material to hiring Hunsaker.
Alphatec granted Hunsaker 173,322 RSUs and $750,000 (at target) of PSAs. The RSUs will vest in equal installments on each of the first three anniversaries of Sept. 14, 2016, subject to Hunsaker’s continued employment. The PSAs will vest in a dollar amount representing between 0 percent to 250 percent of the target value upon the earlier of Sept. 14, 2019 or a change in control of Alphatec, subject to Hunsaker’s continued employment.
Alphatec Spine Inc. designs, develops and markets spinal fusion technology products and solutions for the treatment of spinal disorders associated with disease and degeneration, congenital deformities and trauma. The company is based in Carlsbad, Calif.
CFO Michael O’Neill resigned effective Oct. 5. Dennis Nelson, the company’s vice president of finance and corporate controller, a position he has held since 2011, will serve as the interim principal financial and accounting officer while executives search for O'Neill's replacement. Alphatec Holdings did not give a reason for O'Neill's resignation.
The company's workforce reductiion is part of a broader plan to reduce operating expenses by $20 million following the sale of its international business to Globus Medical Inc. The downsizing also will more appropriately size the company’s resources to better reflect the needs of a U.S.-focused organization.
“I would like to thank Mike for all of his contributions to Alphatec over the past six years,” said Leslie H. Cross, interim CEO of Alphatec Spine. “Today we have a stronger financial foundation—a much improved balance sheet and enhanced liquidity—that positions us to build to a high quality U.S.-focused business in the future. Dennis is a talented and experienced financial leader. Given his intimate knowledge of Alphatec and our financials, we are confident that Dennis will do an excellent job as we engage in our search for a CFO. We wish Mike all the best in his future endeavors. I would also like to express my appreciation to each of the employees affected by today’s announcement for their dedication and many contributions to Alphatec over the years.”
In the wake of the workforce reduction, the company has granted restricted stock units (RSUs) and performance stock-based awards (PSAs) to Craig Hunsaker, Alphatec’s newly appointed executive vice president of people and culture. These inducement awards were approved by the Compensation Committee of the Alphatec Board of Directors on Oct. 4 with an effective date of Oct. 5, and granted as an inducement material to hiring Hunsaker.
Alphatec granted Hunsaker 173,322 RSUs and $750,000 (at target) of PSAs. The RSUs will vest in equal installments on each of the first three anniversaries of Sept. 14, 2016, subject to Hunsaker’s continued employment. The PSAs will vest in a dollar amount representing between 0 percent to 250 percent of the target value upon the earlier of Sept. 14, 2019 or a change in control of Alphatec, subject to Hunsaker’s continued employment.
Alphatec Spine Inc. designs, develops and markets spinal fusion technology products and solutions for the treatment of spinal disorders associated with disease and degeneration, congenital deformities and trauma. The company is based in Carlsbad, Calif.