(Alliance News) - Revolution Beauty Group PLC on Friday said its chief executive officer and executive chair have stepped away from daily management while an independent investigation is being completed.
The AIM-listed beauty products retailer said that they had stepped down "for the time being" to allow them "to support the independent investigation being carried out by Forensic Risk Alliance and Macfarlanes LLP."
In September, the company's auditor BDO LLP said it had a "number of serious concerns" regarding the audit for the 2022 financial year, concluding that it was not able to sign an audit report. It recommended that Revolution Beauty appoint independent external advisers to conduct an investigation.
Trading in the company's shares has been suspended since September 1 after it failed to deliver its first audit by August 31. The company floated in July 2021.
The company said on Thursday that Chief Executive Officer Adam Minto and Executive Chair Tom Allsworth have "voluntarily agreed" to step away from day-to-day management. The company stressed this decision is "not a result of any matter arising from the independent investigation to date."
It said the company requires an operational leader that can "devote their full time and attention" to managing the business as well as lead ongoing discussions with the group's stakeholders.
Minto and Allsworth will remain directors of the group.
The board has appointed Bob Holt as interim chief operating officer pending the completion of the independent investigation. Holt will report directly to the board.
Holt has previous experience leading companies through turnarounds and flotations, the company said. This includes recent experience at London-listed firms such as SureServe Group PLC, Totally PLC and Mears Group PLC.
By Chris Dorrell; chrisdorrell@alliancenews.com
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Revolution Beauty (REVB)