Imperium Renewables chief quits

Martin Tobias has stepped down as chief executive and chairman of Imperium Renewables, the heavily funded Seattle biodiesel producer.

No reason was given for Tobias' departure, and a company spokesman declined to comment beyond a five-sentence statement that was distributed Friday afternoon.

Tobias spoke last week to the Seattle P-I about the benefits that the recently passed energy bill would have on Imperium. He could not be reached Friday.

The move left members of Seattle's clean-tech industry stunned, since Tobias has been one of the most vocal proponents of alternative fuels in the Pacific Northwest.

"It's pretty shocking," said Propel Biofuels President Rob Elam, whose company shares office space with Imperium and sells their fuel. "I don't have the slightest idea on why it happened."

Just a couple of weeks ago, Elam attended an angel investor meeting at Tobias' home. No mention was made of his pending departure.

There may have been a personality conflict with the board or existing management, though Elam said "it wasn't visible to me."

Dan Freeman, owner of Dr. Dan's Alternative Fuelwerks, also was surprised by the news.

"Oh, wow. That's interesting," said Freeman, whose company sells biodiesel from an Imperium competitor. "I am surprised that he is stepping down. I hope he is replaced by somebody who can help biodiesel grow in a sustainable, environmentally friendly manner."

One of the most heavily funded biodiesel companies in the country, Imperium announced $214 million in financing earlier this year from backers such as Nth Power, Technology Partners and others. Some of that money was used to start production at a 100 million-gallon biodiesel refinery in Grays Harbor County -- a facility the company touts as the largest of its kind in the country.

To help fuel growth, including 100 million-gallon facilities in Hawaii, Argentina and Philadelphia, Imperium filed for a $345 million initial public offering in May.

Sources tell the P-I that the IPO filing was put on hold a few months ago.

Tobias' changing role in the company may have been one of the reasons why the IPO was postponed. Typically, chief executives who are taking companies public spend weeks on the road pitching their business concepts to potential institutional investors.

Tobias' departure could delay the IPO process further.

John Plaza, a former airline pilot who founded Imperium, has been named interim CEO, and board member Nancy Floyd has been appointed chairman.

Tobias is known as a colorful character in the Seattle technology industry, with a business personality that some describe as rough and tumble.

Before Imperium, Tobias served as chief executive and chairman of Loudeye. He guided the Seattle digital media company to an initial public offering in March 2000, but it encountered tough times during the dot-com bust. Before Loudeye, Tobias worked as a manager at Microsoft.

He joined Imperium in May 2005 after looking at investment opportunities in alternative energy, a sector in which he had little experience. He also serves as a venture partner at Ignition Partners, the Bellevue venture capital firm.

According to a filing with the Securities and Exchange Commission, Tobias owns 7.9 percent of Imperium. He earned a salary and bonus of $227,308 this year.

It's unclear what is next on the agenda for Tobias, but Elam is hopeful that he stays engaged in alternative energy.

"Martin has done more to raise the profile of biodiesel in Seattle than just about anybody," Elam said. "I hope he maintains some visibility in the Seattle clean-tech space because he has brought a lot of capital and visibility to ... entrepreneurs in this space."