Snoop Dogg resigns from Faze Clan board of directors following the organization’s dip in stock prices –Within a year of joining the esports group FaZe Clan, Snoop Dogg has resigned from the board of directors. FaZe Clan stated in a new SEC filing on April 4 that the famous rapper notified the organization of his resignation on March 29th, 2023.
According to a Forbes story, Snoop Dogg received nearly $2 million in company stock along with his board appointment, with some of the remaining stock being divided between his manager and son. According to the narrative, Snoop Dog’s stock would not have vested until the following year and would not have been worth its initial valuation given how much the stock has fallen since its debut.
Snoop Dogg resigns from Faze Clan board of directors following the organization’s dip in stock prices
Getting the California rapper on the board was mentioned as an “accomplishment” under talent highlights in FaZe Clan’s letter to stockholders about 2022. On March 7, 2022, FaZe revealed the rapper’s appointment to its board of directors and as a member of its talent. Now that the relationship has come to an end, Snoop’s resignation was not due to “any disagreement with the company or any of its subsidiaries,” according to the filing.
Snoop Dogg has officially resigned from FaZe Clan’s board of directors pic.twitter.com/sn1sBxGEOU
— Jake Lucky (@JakeSucky) April 4, 2023
FaZe’s share price crashed below $1 in less than six months after making its NASDAQ debut in July 2022, mainly as a result of several legal loopholes the organization used to quickly go public. Following a new low in stock prices in February 2023, FaZe allegedly let go about 20% of its workforce. A few weeks later, NASDAQ threatened to delist the organization’s shares by serving FaZe with a deficiency notice.
“(FaZe) failed to comply with the $1 minimum bid price required for continued listing on The NASDAQ Capital Market”, the letter reads. “The Company has been provided an initial period of 180 calendar days, or until September 19, 2023…by which the Company has to regain compliance with the minimum bid price requirement.”
Given Snoop’s high salary, even though his resignation might seem like another blow to the FaZe Clan’s future, it might actually help the group as it navigates these financial losses.
