Kit Digital replaces CEO with shareholder

Reuters News
Posted: Aug 30, 2012 7:27 AM
Kit Digital replaces CEO with shareholder

(Reuters) - Video technology provider Kit Digital Inc replaced recently appointed Chief Executive Barak Bar-Cohen with shareholder and director Peter Heiland, the company said in a regulatory filing.

Heiland is a managing director of JEC Capital Partners Llc, which holds roughly an 8 percent stake in Kit. The technology-focused investment firm proposed a slate of four directors for the board in June.

Kit Digital, which has been facing an extensive management rejig, named Chief Administrative Officer Bar-Cohen interim CEO in March, replacing Kaleil Isaza Tuzman.

The company, which has never made a profit since it listed on the Nasdaq in 2009 and is now looking to sell itself, also lost four directors in March and has recently appointed a new chief financial officer and a chief technology officer.

Following two settlement agreements with JEC earlier this month, Kit agreed to appoint Heiland to the board and awarded him 38,585 restricted shares, the company said in a filing with the Securities and Exchange Commission.

The company provides its services to some of the biggest technology, entertainment and media companies in the world, including Google Inc, Hewlett Packard Co, Disney-ABC, MTV and BBC.

Kit's video platform, a cloud-based system, enables clients to broadcast multiscreen video experiences to audiences wherever they are.

The company's stock, which closed at $3.01 on the Nasdaq on Wednesday, has lost nearly three-quarters of its value in the past year.

(Reporting by Sayantani Ghosh in Bangalore)