Violin Memory today named Kevin DeNuccio as its CEO, and he must decide if he wants to try and turn around the struggling all-flash array vendor or sell it off.
DeNuccio replaces interim CEO Howard Bain, who held that position since Violin’s board fired Don Basile in December. Bain remains Violin’s chairman. Basile cut his remaining tie with Violin when he officially resigned from the board last Friday. DeNuccio, who also has the title of president, replaced Basile on the Violin board.
Basile left as CEO less than three months after Violin went public, and saw its stock price plummet from its initial public offering of $9 to $2.68. It didn’t help Basile that Violin’s first earnings report as a public company was disappointing, as it lost $34.1 million and missed its revenue and guidance targets.
Clinton Group, a Violin investor, has been pushing the board to sell the company. Clinton Group president Gregory Taxin wrote a letter to the Violin board in December urging it to sell the company. Last week he told Bloomberg at the Activist Investor Conference that Violin has received informal inquiries from five suitors.
DeNuccio won’t be making any public statements for at least a few days according to a Violin spokesperson, who said the new CEO will be tied up in meetings with employees, partners, investors and customers.
Although he is a director for solid-state drive (SSD) vendor SanDisk, DeNuccio’s background goes far deeper in telecommunications that storage. He most recently managed angel investor Wild West Capital, which he founded in 2012. He also served as CEO of Metaswitch Networks from 2010-2012 and Redback Networks from 2001-2008. He took Redback through Chapter 11 bankruptcy before sellng it to Ericcson. He also held executive positions with Bell Atlantic Network Integration, Cisco, Wang Laboratories and Unisys Corp.