Cano Health stock plunges toward record low after 3 directors resigned amid concerns over CEO Hernandez's leadership
Shares of Cano Health Inc. (CANO) tumbled 20.3% toward their first-ever sub $1 close in afternoon trading Friday, after the primary care provider said it was "disappointed" that three directors had decided to resign, that it strongly disagreed with their comments about the company and that one director, Barry Sternlicht, shared confidential board deliberations with shareholders. Late Thursday, Sternlicht issued a statement in which he criticized Chief Executive Marlow Hernandez and the board, and the mismanagement that led to the stock being "decimated" since its debut and the given the "crippling" debt burden. "I remain extremely troubled by the poor operating decisions and performance, by what I consider the opacity and obfuscation of information furnished to the Board, and by the inability to forecast the Company's financial performance over which Marlow and his management team have presided," Sternlicht said. The company's stock, which debuted on the New York Stock Exchange on June 4, 2021 after the merger with special-purpose acquisition company (SPAC) Jaws Acquisition Corp. was completed, has plummeted 94.0% since then.
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March 31, 2023 14:31 ET (18:31 GMT)
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