VCs typically include clauses to be able to sack CEO and retain board control under specific circumstances. I've seen this happen in a small company I was at, to a CEO that didn't meet rather ambitious financial targets. AFAIK it is all very carefully designed and the power is extremely important to VCs, plus the legalities are well tested (since most losing CEOs will fight it in courtroom).
You don't know what contracts he has signed.
VCs typically include clauses to be able to sack CEO and retain board control under specific circumstances. I've seen this happen in a small company I was at, to a CEO that didn't meet rather ambitious financial targets. AFAIK it is all very carefully designed and the power is extremely important to VCs, plus the legalities are well tested (since most losing CEOs will fight it in courtroom).