Cano Health CEO Mark Kent Steps Down Amid Restructuring

Cano Health, a primary care provider focused on Medicare beneficiaries, announced today that CEO Mark Kent has stepped down from his position, effective immediately. This leadership change comes as the company continues to navigate its post-bankruptcy restructuring efforts.

Kent's Tenure and Company Challenges

Mark Kent, who joined Cano Health in 2023 as chief strategy officer, assumed the role of CEO later that year following the departure of founder Marlow Hernandez. Kent's appointment came at a tumultuous time for the company, which had faced criticism from former board members over corporate governance issues and financial management.

During his tenure, Kent oversaw significant cost-cutting measures, including the closure of medical centers, staff reductions, and market exits. Despite these efforts, Cano Health reported a staggering net loss of $491.7 million for the third quarter of 2023, more than quadrupling its losses from the previous year.

Bankruptcy and Restructuring

The financial struggles continued into early 2024, with Cano Health receiving a delisting warning from the New York Stock Exchange due to non-compliance with market capitalization rules. In response, the company accelerated its turnaround plan, aiming to cut costs by $290 million by the end of the year.

However, these measures proved insufficient, and Cano Health filed for bankruptcy shortly thereafter. The company exited bankruptcy proceedings in the summer of 2024 as a private entity, significantly reducing its operational footprint to approximately 80 locations in Florida.

Leadership Transition and Future Outlook

As Cano Health continues to refine its leadership structure, Alan Wheatley, the executive chairman of the board, will oversee the transition process. The company has not yet announced a permanent replacement for Kent, who is reportedly leaving to focus on his next business venture.

This leadership change marks a critical juncture for Cano Health as it seeks to stabilize its operations and rebuild investor confidence following a period of financial turbulence and corporate restructuring. The healthcare industry will be watching closely to see how the company navigates this transition and whether it can achieve sustainable growth in the competitive primary care market.