Waitr filed documentation with the SEC today indicating that two new members were appointed to its board of the directors, bringing the Lafayette-based company back in compliance with the Nasdaq stock market.
Waitr initially fell out of compliance with Nasdaq in October after two of its company board members resigned following the news that the firm’s chief financial officer was departing. The news of the three resignations—just two months after founder Chris Meaux stepped away from the company—didn’t sit well with investors and the company’s share price plummeted more than 50% to below $1.
Waitr had until early June to both raise its stock price above $1 and appoint two new members to the board or risk being delisted by the stock market.
Waitr’s share prices jumped to over $2.50 last month as people began practicing social distancing and restaurants were forced to close their dining rooms because of the novel coronavirus. That initial spike in share price quickly fell, though the price has since seemingly settled a little above $1. As of 2 p.m. this afternoon, shares were trading at $1.15.
The two men tapped by the company to serve on its board are former Olympic equestrian Charles “Rusty” Holzer and Nashville businessman Buford “Buddy” Ortale.
Holzer, who serves as a director of his family-owned real estate company, also serves on the board of a real estate investment trust, an offshore hedge fund and a charity for horses. Ortale is a principal of Sewanee Ventures, a private investment firm he founded in 1996, and is a partner in another private equity firm based in Los Angeles.
Waitr also made two more filings to the SEC regarding CEO Carl Grimstad, who took the helm in January.
Along with granting more than 3 million restricted stock units to the executive, the company entered into a performance bonus incentive agreement last week with Grimstad, who will receive $5 million if the company’s share price rises above $2. Furthermore, according to the filing, if Grimstad terminates his employment contract with Waitr for “good reason” or if the company terminates his employment for reasons other than misconduct, he will still be eligible to receive the $5 million payment if the stock rises above $2 before Jan. 3, 2022.
The moves come less than two weeks after Waitr announced that February was its first profitable month in business
