Dec 14, 2024 activistcompany

Mounts Gonzales, President and Sole Managing Member of The AI Catalyst Fund secured Board seat at ModivCare (MODV)

Key Summary: On March 6, 2025, the company appointed Mr. Mounts Gonzales, President and Sole Managing Member of The AI Catalyst Fund, as a member of the Board effective March 7, 2025. Between December 11-13, 2024, Q Investments urged the board to address management turnover, poor communication, and underperformance, recommending leadership changes and a faster review of strategic alternatives. Following these discussions, Shackelton and Samant resigned on December 13. While acknowledging progress, Q Investments calls for replacing two more directors, appointing a new chair, and tackling shareholder value destruction, with the stock down 59% this year.

Market Cap: $39 million | ModivCare Inc., a technology-enabled healthcare services company, provides a suite of integrated supportive care solutions for public and private payors and their members.

On December 11, 12 and 13, 2024, Q Investments communicated with the board, highlighting concerns about management turnover, poor financial communication, and the board's performance. In a letter, they recommended replacing Chairman Shackelton, adding four new directors, evaluating the financial leadership team, and expediting the review of strategic alternatives. Following these discussions, the resignations of Shackelton and Samant were announced on December 13, 2024. While acknowledging this progress, Q Investments urges further changes, including replacing two more directors, appointing a new chair, and addressing shareholder value destruction, as the stock remains down 59% this year. Source

On March 6, 2025, the company appointed Mr. Mounts Gonzales, President and Sole Managing Member of The AI Catalyst Fund, as a member of the Board effective March 7, 2025. Source

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