Gail’s Ronin story caught our eye Thursday, so we did a little digging on the strategy consultant, Michael Howe that they have hired and how it seems he is set to walk away with a cool USD 200K in cash and 300,000 shares at a nice discounted price.Based on what we can see, this is all about healthcare at this stage but mind you, with an active† deal on the street for the Wendys/Arbys Group in the U.S., folks will wonder if Wireless Ronin has somehow tried to buy influence on the deal (Michael C. Howe not only formerly served as Chief Executive Officer of MinuteClinic but also as Chief Executive Officer of Arby’s).
However, our best guess is that his ‘consulting project’ is aimed at delivering either a deal with MinuteClinic, his former company now owned by CVS, or some kind of a healthcare-related strategy for Ronin.
Documents released by the company state that the consulting project entails an assessment of the management team and enhancement of Ronin’s business plan.
For three months work (the consulting project will be completed by the end of March 2011) Howe’s new business will walk away with USD 200,000 in cash
Mr. Howe is also given a ten-year non-qualified stock option for the purchase of 300,000 shares of common stock at an exercise price of USD 1.40 per share, representing the closing price of one share of RNIN common stock on the NASDAQ Capital Market on December 16, 2010.
Not a bad piece of work if one can get it!
† We are never sure just how ‘active’ some of these QSR RFPs in the US ever are!