Scott Kveton

Onetime Portland tech executive Scott Kveton is the new chief executive of a Denver company, MassRoots, that's developing technology for the cannabis market.

The website Green Market Report said MassRoots' board replaced CEO Issac Dietrich as the company's cash balance dwindled and its stock price deteriorated. A MassRoots employee with direct knowledge of the change confirmed Kveton's new role, but asked not to be identified because of the sensitive nature of the transition.

MassRoots acquired Kveton's Portland startup, Odava, in July in a deal worth about $1.6 million, primarily in MassRoots stock. Then, in August, MassRoots bought another startup called CannaRegs for $12 million.

MassRoots shares were trading around 50 cents at the time it bought Odava. The stock closed Monday at 33 cents and slid as much as 27 percent Tuesday, following word of the CEO transition. It rebounded some late in the day, closing down 12 percent at 29 cents a share.

MassRoots did not announce the leadership change or submit a regulatory filing to disclose it; its website still lists Dietrich as CEO, and Kveton as vice president. Kveton did not immediately return a message seeking comment.

On Twitter, Dietrich appeared to allude to his exit, calling yesterday "By far one of the toughest days of my life." He also appeared to criticize the decision to replace him: "Board of Directors report to the shareholders, not the other way around." (Dietrich apparently deleted that tweet.)

By far one of the toughest days of my life — Isaac Dietrich (@Isaac_Dietrich) October 17, 2017

MassRoots' makes apps to guide consumer decisions on marijuana strains and products. Kveton's former company, Odava, made transaction processing and supply-chain management software for businesses in states where marijuana is legal.

Kveton co-founded Portland-based Urban Airship, a mobile technology startup, in 2009 and ran it until 2014, when a former girlfriend accused him of sexual assault. The accusations forced him from his job and rocked Portland's tech community, though he never faced criminal charges.

The woman brought a civil suit against Kveton, and the former couple reached a civil agreement to resolve the complaint.

-- Mike Rogoway; twitter: @rogoway; 503-294-7699