8:56 am, February 2, 2024
Used car dealer Cazoo has confirmed another shake-up to its board following the departure of controversial founder Alex Chesterman last year.
Chesterman finally bowed out of the financially troubled outfit back in December, when the company restructured its debt in a deal that saw its $630m debt converted to just $200m.
His departure – following years of jibes at the motor trade – saw the arrival of a new board of directors, which has now been added to.
The company’s chief executive, Paul Whitehead, as well as chief financial officer, Paul Woolf, have both now been appointed to the board.
Whitehead has been with Cazoo since its inception and previously worked as chief operating officer before taking up his current role last April.
He will serve as a Class III director in a deal that runs until the outfit’s 2024 annual general meeting.
Woolf meanwhile, joined the company in August 2022, after previous incumbent Stephen Morana left the outfit following crippling losses.
He will serve as a class I director up until 2025’s annual general meeting.
Confirming the news, Cazoo told investors: ‘Following the closing of the Company’s restructuring of its capital structure in December 2023, on February 1, 2024, Paul Whitehead, our chief executive officer, and Paul Woolf, our chief financial officer, were appointed to fill the vacancies on the Company’s board of directors.
‘Mr Whitehead will serve as a Class III director whose term expires at the 2024 annual general meeting, and Mr. Woolf will serve as a Class I director whose term expires at the 2025 annual general meeting, or, in each case, until such time as such individual is no longer employed by the company.
‘In addition, on January 26, 2024, Mr Whitehead and Mr Woolf entered into separate agreements with the Company to provide for their continued employment on the terms specified therein.
‘Pursuant to these agreements, Mr Whitehead and Mr Woolf are entitled to receive their salary, their 2023 bonus and a 2024 bonus based on their and the company’s performance.
‘If the cmpany chooses to pursue an M&A transaction, Mr Whitehead and Mr Woolf are also entitled to receive an M&A bonus following the closing of such M&A transaction.
‘Should Mr Whitehead or Mr Woolf cease to be employed by the company for any reason, after March 31, 2024 or April 30, 2024, respectively, they will each be entitled to certain termination benefits including a lump sum termination payment.’
The latest news comes after bosses admitted that the embattled retailer could face going under if it doesn’t raise more money.
Recent years have seen the company rack up eye-watering losses after splashing millions on expensive marketing and sponsorship campaigns.
You can learn more about the history of Cazoo here. Alternatively you can watch our special documentary all about the firm’s rise and fall.
