Larry Roth has taken over as chief executive of embattled RCS Capital Corp., replacing Michael Weil, the company announced late Monday in a delayed earnings release. 

Roth was most recently chief executive of Cetera Financial Group, the company’s independent broker-dealer business. RCS Capital (RCAP) is the holding company for Cetera.
Weil, whose departure was expected, will remain on the board.
The management shuffle is part of a broader effort by RCAP to raise cash and cut debt in the face of an imploding market value and losses on some of its acquired businesses. RCAP paid a reported $1.1 billion for Cetera in 2014 and the broker-dealer remains RCAP's largest asset.

Unconfirmed reports indicate RCAP might consider selling Cetera, though most observers believe it would fetch far less than what RCAP paid. But the situation remains fluid at the struggling collection of companies acquired in rapid-fire succession by real estate investor nicholas Schorsch. Under another scenario, RCAP would refocus its operations on its independent broker-dealer business under the tutelage of Roth, former head of the AIG broker-dealers.
During this year’s third quarter, the company wrote off $331.7 million of goodwill and intangible assets, producing a net loss of $266.5 million for the quarter, or a negative $3.52 per fully diluted share.
Publicly traded RCAP has seen its shares lose nearly all their value since going public in 2013. The stock was up $0.09, to $0.35, during trading Tuesday.
RCAP has “received various proposals from multiple parties” for additional capital and for certain assets, the company said in a 10-K filing.
Those offers are now undergoing due diligence, RCAP said, warning that if the efforts to raise cash and cut debt are unsuccessful, “there is substantial doubt about our ability to continue as a going concern.”
RCAP came under fire beginning last year when an accounting scandal erupted at American Realty Capital Properties which, like RCAP at the time, was a business controlled by Schorsch.
A number of broker-dealers subsequently pulled back on the sale of non-traded programs sponsored by Schorsch’s AR Capital, the primary source of business for RCAP’s wholesaling business.
RCAP is selling the wholesaling unit, Realty Capital Securities, to Apollo Global Management for $6 million.
It has also agreed to sell its Hatteras Funds unit to a management group for $5.5 million, and dodging future payments worth up to $20.8 million.
Also in the most recent quarter, RCAP sold $27 million of unsecured promissory notes to, and obtained loan modifications from, several existing investors.
The company’s retail brokerage revenue for the third quarter was flat at $503.5 million compared to a year ago, held back by lower sales of non-traded REITs and other alternatives, RCAP said in a release.
The firm had 9,476 advisors at the end of September, down from 9,505 the prior quarter. RCAP said it recruited 254 advisors in the third quarter.
"We believe Cetera Financial Group remains a strong franchise, and we are confident in our core business as we continue to see opportunities to gain market share and capitalize on the growing need for independent, high quality retail advice," Roth said in a statement.