Fluence Energy named interim leaders hailing from two of its major shareholders to its CEO and CFO chairs as the business seeks to address ongoing supply chain hiccups and faces a proposed class action suit alleging securities fraud following slumping financials. The provider of energy storage solutions named board member and Siemens veteran Axel Meier as interim CEO. Ricardo Roizen, an AES Corporation finance executive, was appointed as interim CFO, according to a Monday press release and securities filing.
The executive changes took effect on Monday. Meier replaces Julian Nebreda, while Roizen succeeds Ahmed Pasha. Both Nebreda and Pasha stepped down from their roles on Oct. 30 and are eligible for severance benefits under the company plan, according to the filing with the Securities and Exchange Commission.
Meier, 63, is a longtime Siemens veteran who has served on Fluence’s board since January 2020. He previously served as CFO for Siemens Smart Infrastructure, a role he left this June. As interim CEO, he will receive an annual base salary of $1.01 million. He is also eligible for a discretionary cash bonus after a successful transition and the appointment of a permanent president and CEO.
Roizen, 47, is currently the finance chief for AES Andes, a division of AES Corporation. Fluence entered into a secondment agreement with AES Andes to have Roizen join the company for “90 days or longer.” AES Andes will continue to pay Roizen’s salary and benefits during the secondment term, which will end when a new CFO is appointed.
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New Oversight Committee Formed
Fluence has also established a new manufacturing and operations oversight committee. The committee will provide “focused oversight of the Company’s efforts to strengthen manufacturing performance, operational execution, and customer delivery,” the company stated. Fluence is based in Arlington, Virginia, and was formed as a joint venture by Siemens and AES in 2017, with each taking a 50% stake in the company at the time. The two companies remain its major shareholders.
The executive leadership changes come as the business seeks to address ongoing supply chain hiccups which have impacted its revenue expectations for its fiscal 2026. The company is trying to execute on a $6.4 billion backlog.
These appointments occur as Fluence faces a proposed shareholder class action lawsuit. Filed in September, the suit alleges the company failed to disclose key information to stakeholders. It claims Fluence misrepresented its manufacturing capabilities and its ability to meet previously shared earnings targets. Both Nebreda and Pasha were named as defendants alongside the company.
Lawsuit Alleges Misrepresentation
The complaint, filed in the U.S. District Court for the Southern District of New York, alleges that defendants failed to disclose that the company’s ability to execute on its backlog depended on new contract manufacturing facilities. These facilities were “not completed, not operational, and/or not capable of producing at the volumes the guidance assumed,” the suit states. Furthermore, Fluence failed to disclose that corrective measures it had implemented had failed to remediate those challenges, which “persisted and extended to the Company’s new facilities,” according to the complaint.
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The lawsuit followed a major revision of Fluence’s financial guidance. In a Sept. 16 press release, the company walked back its revenue expectations for fiscal 2026 and revised its expected adjusted EBITDA loss to $200 million, down from a projected profit of $10 million. The adjustments were primarily due to continuing supply chain challenges impacting its U.S. production.
In previous guidance for its fiscal 2026 provided last November, Fluence said it was confident in its ability to deliver a revenue growth target of 50% for the period. In addition, it projected adjusted EBITDA between $40 million to $60 million — which would have represented a “significant increase” from the $19.5 million in adjusted EBITDA it reported for fiscal 2025, according to the shareholder suit.
Fluence has begun a search for permanent successors to both the CEO and CFO roles, it said Monday. The company is now tasked with addressing its operational challenges and responding to the legal action while it seeks to find long-term leadership.