Michael P. Watts gave notice of his retirement from Sonendo, Inc. as Chief Financial Officer on March 4, 2024, with effect from March 15, 2024, in order to pursue other possibilities. There is no reason for Mr. Watts’ resignation other than a disagreement with the company on any aspect of its operations, rules, procedures, or financial reporting. Under such arrangement, Mr. Watts will not be eligible to receive any severance compensation due to the nature of his employment departure. Given that Mr. Watts was on staff at the company for the entirety of 2023, he will be eligible for both a one-time payment for specific activities in the first quarter of 2024 and appropriate performance-based compensation for the year that concluded in 2023. The Company plans to establish a contract with Mr. Watts wherein he will offer specific advisory services to the Company starting on the day of his resignation.
The Board of Directors of the Company has nominated Chris Guo, 48, Vice President Finance and Corporate Controller, to act as Interim Chief Financial Officer effective March 15, 2024, until Mr. Watts’ successor is named. Mr. Guo leads company finance and accounting operations and has a wealth of experience. As of the current report date on Form 8-K, no new compensation agreements had been decided upon with Mr. Guo. The company plans to submit an addendum to this Form 8-K revealing such arrangements if and when they have been determined.
Since July 2021, Mr. Guo has held the positions of Vice President Finance and Corporate Controller for the Company. Mr. Guo held the positions of Director of Financial Reporting for Amphatsar Pharmaceuticals, Inc. from June 2016 to November 2018 and Vice President of Accounting for Evolus, Inc. from November 2018 to July 2021 before joining the Company at that time. Mr. Guo worked for Ernst & Young from 2005 to 2012 and 2013 to 2015, as well as the Public Company Accounting Oversight Board from 2015 to 2016, before joining Amphastar. Having graduated with a Master of Accountancy from the University of Oklahoma in 2002, Mr. Guo is a Certified Public Accountant.
There is no family connection between Mr. Guo and any of the company’s directors, executives, or nominees for such positions. Neither Mr. Guo nor any proposed transactions of that nature have involved Mr. Guo in any transactions with the Company that are required to be disclosed under Item 404(a) of Regulation S-K. Mr. Guo was named the Company’s Interim Chief Financial Officer in accordance with no agreements or understandings with any other individual.
