Quickflix CEO resigns amid funding troubles

Quickflix CEO Chris Taylor and non-executive deputy chairman Justin Milne have both resigned from the movie-streaming and DVD-rental company as it struggles to pick up the required funding to continue operations.

Milne, a former group managing director for Telstra BigPond, joined the board in July last year, with Quickflix boasting Milne's experience in online retail businesses at the time. Taylor was also appointed in July last year from the role as director of Telstra Media.

Non-executive director Susan Hunter has also resigned from the board.

The company's founder and chairman Stephen Langford will take over the role of CEO following Taylor's departure, and the company's directors will appoint a new director to the board soon.

The company said in a statement to investors that negotiations for future funding are ongoing, and that management is "currently pursuing several options and working through a restructuring plan to reduce costs and capital requirements."

Although Quickflix started out as a DVD-rental company, it rolled out its online streaming service in the 2012 financial year, and now has services delivered to smart TV, PC, PS3, Xbox 360, iPhone, iPad, and a number of Android devices.

In the company's 2012 financial report, it said that it increased the number of subscribers in the last financial year by 59 percent to 118,000. While Quickflix reported a revenue of AU$16.9 million, it incurred operating and marketing costs of AU$30.9 million for the year, resulting in a net loss of close to AU$14 million.