The Novonix Ltd (ASX: NVX) share price is on course to end the week on a high.
In morning trade, the battery materials and technology company’s shares are up 6.5% to $3.98.
Why is the Novonix share price surging higher?
Investors have been bidding the Novonix share price higher today despite news that a key director is exiting the board. This appears to have been driven by improving investor sentiment in the battery materials sector, which has seen a number of lithium shares shoot higher today and offset this news.
According to the release, billionaire coal magnate Trevor St Baker AO has retired from the Novonix board with immediate effect.
The release explains that Mr St Baker is exiting the role due to excessive company board representations on behalf of the St Baker Energy Innovation Fund (SBEIF). This relates to a number of the companies in which the SBEIF has invested, including Novonix.
In addition, the exiting director advised that he will be devoting more time to the establishment of a second St Baker Energy Innovation Fund.
Mr St Baker explained:
I am really very pleased to have been able to contribute as a Director of NOVONIX in its exciting establishment as such an important player in the decarbonisation transformation of global energy and transport businesses.
He also revealed that he remains a firm believer in Novonix’s growth story and it will remain a key part of his investment portfolios.
I am also excited about the Company’s continuing growth as a significant battery material and energy storage solution provider as these sectors grow to serve these transformations, and my resignation should not reflect any diminution of interest by SBEIF or of the St Baker family in NOVONIX as a serious growth stock in our investment portfolios.
Novonix’s Chairman, Admiral Bob Natter, thanked St Baker for his service and revealed that a succession plan is in place. He said:
The Board of NOVONIX greatly appreciates Trevor’s contribution to the growth and development of NOVONIX, as well as the continued commitment of SBEIF and the St Baker Family as shareholders and investors in NOVONIX. We have a strong Board succession plan in place, and together we look forward to the continued growth of the company.