IDW Media Holdings is cutting 39% of its workforce, voluntarily delisting from the NYSE American, and replacing its CEO with the largest shareholder’s son, the company announced today. The move comes after years of losses, including a $2 million loss in the company’s fiscal Q1 ended January 31 (see “IDW Publishing Loses $335,000 in Fiscal Q1”). The company has been bleeding cash; it had $10 million at the end of its fiscal year Octoberl 31, 2022 (see “IDW Posts Big Loss“), and around $5.7 million today. They expect the staff cuts, the delisting,and other changes to save $4.4 million per year.
The board replaced CEO Allan Grafman with current Executive Chairman Davidi Jonas. Jonas’s family holds a controlling interest in the company, and his father, Howard Jonas, is IDW’s Chairman and the Chairman of the Board. CFO Brooke Feinstein is leaving the company and will not be replaced. Amber Huerta has been promoted from Senior Vice President, People and Organizational Development, has been promoted to Chief Operating Officer.
After the delisting from the NYSE American, the company expects to have its stock resume trading on the OTC markets.
The Beat reported that the layoffs included all marketing and PR staff and half of editorial, including Editor in Chief Nachie Marsham.
Source: ICv2
