Australian Vintage has terminated its CEO, Craig Garvin, effective immediately, citing a lack of judgement and conduct inconsistent with the company’s values.
Peter Perrin, a current non-executive director of Australian Vintage, has been appointed as the acting CEO.
“While we are disappointed by the circumstances leading to his departure, we believe this decision is in the best interests of the company and its stakeholders,” said Richard Davis, chairman of Australian Vintage.
“The board remains committed to upholding the highest standards of conduct and accountability for all employees, including senior leadership.”
The company said Garvin’s departure will not impact the preliminary discussions between Australian Vintage and Accolade Wines regarding a potential transaction, as previously disclosed to the ASX in February this year. These discussions continue, although there is no certainty that any transaction will eventuate.
AVG will pay Garvin his accrued entitlements, and he will receive payment in lieu of his six-month notice period following his employment contract. The unvested performance rights held by Garvin at the termination of his employment will lapse.
However, the 562,705 shares currently held in trust under escrow will be released and transferred to Garvin.
The company has begun an extensive global search to appoint a permanent CEO.
