A little over a year after licensing the U.S. business to a new partner to pare the costs that come with operating directly, WeSC has decided to make another attempt at running the U.S. business.
WeSC assumed control from licensee Oved Group on Dec. 1, according to a WeSC press release.
The company has appointed Joseph Janus, previously with Oved, as CEO of the U.S.
“The U.S. is an important market for us and it is essential that we have full control of the business going forward,” said acting WeSC CEO Johan Heijbel.
When it decided to license the U.S. business in 2012, the company described it as a burden on overall company profitability.
There were several other major changes at Sweden-based WeSC during the back half of the year.
Heijbel became acting CEO in August, replacing WeSC founder Greger Hagelin, who is now focusing on brand, sales and marketing, according to WeSC.
The company also raised an additional SEK 55 million ($8.3 million) in the fall to relieve its liquidly issues.
For the first nine months of the year, WeSC reported revenue dropped 29% to SEK 169.8 million ($25.8 million).
The company reported a loss after tax of SEK 36.9 million ($5.6 million). In the same period last year, the company reported a loss after tax of SEK 26 million ($3.9 million).
