Globalstar has announced the promotions of Dave Kagan to the position of CEO and Jay Monroe to Executive Chairman of the Board of Directors.
In keeping with the strategy the Company previously disclosed in connection with the intended merger, the promotions separate management of Globalstar’s satellite operations and spectrum-related activities, with responsibility for all satellite operations under the CEO. The promotion of Mr. Kagan advances this strategy and he will oversee and drive all activities related to the Company’s satellite business.
Mr. Monroe, as Executive Chairman, will be responsible for strategic financing efforts and liquidity matters, other than the Company’s senior credit facility which will be the responsibility of Mr. Kagan. In addition, Mr. Monroe will have primary responsibility for all strategic terrestrial spectrum-related activities on a global basis, including the Company’s ongoing efforts to standardize and monetize its terrestrial spectrum assets.
Mr. Kagan commented that he's excited about assuming the CEO role and knows the the company's team will drive increasing profitability for the firm's stakeholders. He added that there are numerous new IoT and other product offerings in the Globalstar pipeline which he believes can dramatically enhance Globalstar’s future value, while tapping into new innovative uses for our satellite assets.
Jay Monroe stated that since the original Thermo investment was made many years ago, he has devoted himself entirely to all areas of Globalstar’s business. As the fundamental drivers of its success have increased in complexity, it has become evident that it would be best to further divide certain responsibilities with Dave, whose stewardship of the upward trajectory of the core satellite business continues to impress and permits this comfortable transition. Dave has presided over dramatic increases in Adjusted EBITDA for the satellite business, up approximately 50 percent in 2017 and another 37 percent, year to date, in 2018. By stepping into the CEO role, he will control all of the levers necessary to drive revenue and EBITDA growth while Monroe focuses in on spectrum monetization opportunities and other strategic financing initiatives. Globalstar continues to explore opportunities with companies playing varying roles in the spectrum industry, including novel uses and new entrants seeking a foothold through licensed spectrum. These promotions are in line with how the company believes the business is best operated and they appropriately align titles with operating duties.