Dive Brief:
- SolarWinds has promoted finance veteran Tim Karaca to the company’s CFO seat, the software maker said Wednesday.
- Karaca most recently served for three years as the group vice president for strategic finance and investor relations at SolarWinds. His new role became effective on June 16, according to a press release.
- The finance leadership change comes as the Austin, Texas-based information technology management software provider defends itself against a Securities and Exchange Commission lawsuit stemming from a major cybersecurity breach in 2020.
Dive Insight:
In 2023, the SEC sued the company and its chief information security officer, Timothy Brown, for allegedly defrauding investors by mischaracterizing cybersecurity practices that were in place at the company leading up to the 2020 breach.
Both Brown and the company’s then-CFO, J. Barton Kalsu, were put on notice during the agency’s investigation that they could face charges. However, Kalsu ultimately wasn’t named in the suit.
In June 2024, SolarWinds announced that Kalsu resigned to “explore other professional opportunities” outside the company.
Karaca succeeds Lewis Black, who became CFO of the company following Kalsu’s resignation. Black is “transitioning out of the role after having led the company through many notable achievements,” a spokesperson said in an email.
Prior to joining SolarWinds, Karaca did leadership stints at AIG, Microsoft and Bridgewater Associates.
“Tim’s significant strengths in strategy, capital allocation, and operating discipline are critical to our growth-focused partnership with Turn/River Capital,” SolarWinds CEO Sudhakar Ramakrishna said in the Wednesday release. “There is no one better suited to serve as CFO as we embark on this next chapter.”
The transition also comes less than two months after the company went private after completing an agreement to be acquired by Turn/River Capital for $4.4 billion.
