Cellnet has advised shareholders that CEO Alan Sparks will retire from the board as the distributor builds an independent board.
According to the announcement of 8 October, the board of publicly-listed Cellnet Group said the decision was in line with the corporate governance principles and recommendations of the Australian Securities Exchange (ASX) regarding independent directors.
As a result, Cellnet has appointed Tony Pearson as an independent non-executive director, and announced the retirement of Sparks and Brian Danos.
The changes will result in a board with a higher percentage of independent directors.
"Sparks’ leadership of the company has been instrumental in guiding CLT’s continued growth, most recently with the successful acquisition of Turn Left Distribution, and he will continue to lead the company in his role as chief executive officer," the company said in a statement.
As previously reported, the mobility accessories distributor entered into an agreement to acquire NSW-based gaming software and accessories distributor Turn Left Distribution for $6 million.
Sparks said at the time that the gaming market, which includes accessories and software, is experiencing high worldwide growth and is an ideal addition to the business, providing further expansion and product diversification as part of its growth strategy.
Cellnet closed the 2018 financial year with net profit after tax up by 193 per cent to $5.9 million and revenue up by 5.83 per cent to $87.5 million.