Feeds

Adaptec CEO resigns

Storage co. for sale

Remote control for virtualized desktops

Adaptec's CEO is resigning, and the company is up for sale.

This confirms what many people have thought would happen once Steel Partners' gained control of the board after a proxy battle. Sundi Sundresh, who became Adaptec's CEO in November 2005, then already its president, is leaving on January 4th and will be replaced by interim CEO and president John Quick, who is a managing director for activist investor Steel Partners and an Adaptec board member. Sundaresh has agreed to work as a consultant for Adaptec and assist in the sale process. It looks like an agreed resignation.

Doug Houweling, an independent board member and ex-chair of its Governance and Nominating Committee and a Steel Partners antagonist, has resigned from the board, completing what is effectively a rout of Adaptec's old guard at board and executive level.

Blackstone Advisory Partners has been retained as a financial advisor to assist in the sale of Adaptec, its assets, and operations.

In a piece of Nasdaq bureaucracy Adaptec will schedule its cancelled annual general meeting before the end of March so as to remain compliant with Nasdaq stock exchange rules. Because of that the Nominating Committee will begin a search process for potential directors.

That's the formal stuff over with, let's get on to the nitty gritty. Adaptec is toast. Jared Peters, the newly-appointed world-wide sales VP has been handed a chalice dripping with poison as the board has just sharply increased the doubts customers will have about doing business with a company that's put itself on the block.

The whole sorry Steel Partners saga has fundamentally been about Adaptec's under-performance as a business and its inability to reorganise itself and focus on a viable strategy for the future. The add-value-to-the-adapters strategy is pretty good but it is a pity it took so very long to come about.

Steel Partners came in about a year ago as the kind of investor that scents a weak and failing company with asset values that could be realised. Now, with a recession and maybe-recovery, it has got its stranglehold on Adaptec's assets and has to deliver on its strategy and make a return on its investment. ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
NSA SOURCE CODE LEAK: Information slurp tools to appear online
Now you can run your own intelligence agency
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
NASA launches new climate model at SC14
75 days of supercomputing later ...
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Cloud unicorns are extinct so DiData cloud mess was YOUR fault
Applications need to be built to handle TITSUP incidents
BOFH: WHERE did this 'fax-enabled' printer UPGRADE come from?
Don't worry about that cable, it's part of the config
Stop the IoT revolution! We need to figure out packet sizes first
Researchers test 802.15.4 and find we know nuh-think! about large scale sensor network ops
SanDisk vows: We'll have a 16TB SSD WHOPPER by 2016
Flash WORM has a serious use for archived photos and videos
Astro-boffins start opening universe simulation data
Got a supercomputer? Want to simulate a universe? Here you go
prev story

Whitepapers

Seattle children’s accelerates Citrix login times by 500% with cross-tier insight
Seattle Children’s is a leading research hospital with a large and growing Citrix XenDesktop deployment. See how they used ExtraHop to accelerate launch times.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.