LanzaTech announces reorganization of the management team, headcount reduction

LanzaTech announced a reorganization aimed at reducing operating expenses and driving accountability and company-wide efficiencies. As part of this effort, LanzaTech has made several organizational changes to its management team, which reduces the overall size of the go-forward executive team by 33%. The goal of this reorganization is to drive greater accountability, as well as operational transparency and efficiency, ultimately enhancing execution throughout the company. In addition to the reorganization of the management team, the company also announced additional cost reductions. A key tenet of this plan is the streamlining of the company’s workforce through the elimination of a variety of roles based on reprioritization of work and poor performance. As such, the company reduced its headcount by approximately 5%. The collective impact of the workforce reorganization and reductions includes an estimated $5.3 million reduction in annualized operating expenses, and $4.2 million in annualized cash savings. Additionally, the company also announced an 80% reduction in the targeted size of the 2023 cash bonus payouts for the executive and management teams. Management is also implementing a plan to offset over $10 million in additional cash burn annually and will continuously review the organization and its strategic growth initiatives to ensure the company is balancing the need to drive sustainable, profitable growth and innovation.