Good year, bad year? Two biotech CEOs hit pay dirt in 2018 as com­pen­sa­tion pack­ages swell

By any ac­count­ing mea­sure, John Oyler had a big year last year, steer­ing BeiGene to a mon­ster $903 mil­lion Hong Kong IPO, then watch­ing the stock lan­guish as the Chi­na-based biotech put its PD-1 on a track to reg­u­la­tors. But what­ev­er short­com­ings may have been in the mix at BeiGene, they didn’t pre­vent the CEO from scor­ing one of the rich­est com­pen­sa­tion pack­ages in bio­phar­ma.

In a re­cent fil­ing with the SEC BeiGene $BGNE re­vealed that the com­pa­ny founder made off with a com­pen­sa­tion deal worth $27.9 mil­lion, a big step up from the $10.3 mil­lion he snagged in 2017 and the rel­a­tive­ly mod­est $4.6 mil­lion he got for 2016 — the year BeiGene’s first IPO hit Nas­daq. 

The big stock awards he got put him as the new num­ber 2 on our pay chart, just be­hind Kare Schultz at Te­va and just ahead of John Mil­li­gan, ex-CEO at Gilead.

Xi­aobin Wu

The big­ger pack­age at the top didn’t nec­es­sar­i­ly trans­late in­to big rais­es for the rest of the team at BeiGene. CMO for hema­tol­ogy Jane Huang nailed a pack­age that was worth $3.4 mil­lion, up from $3 mil­lion the year be­fore. About the same for CMO-I/O Amy Pe­ter­son. But Oyler’s new Chi­na man­ag­er re­cruit­ed last April, Xi­aobin Wu, bagged an im­pres­sive $21.5 mil­lion, which would fall in the mid­dle of the pack for the best paid Big Phar­ma CEOs who have re­port­ed so far.

This past year is prov­ing quite a boon for biotech CEOs, where pay can vary from one year to the next. As we re­port­ed ear­li­er this week, Nick Leschly made out hand­some­ly among the rest of the field, with a com­pen­sa­tion deal that tops out at $24 mil­lion. He made $8.7 mil­lion the year be­fore.

Fur­ther spot­light­ing the bo­nan­za trend, I see that Alk­er­mes $ALKS CEO Richard Pops, who had one of the worst years in the in­dus­try, al­so man­aged to cut a big­ger slice of the ex­ec­u­tive pay pie for 2018. Dur­ing the year, we car­ried a string of re­ports on the com­pa­ny’s big pitch for a new de­pres­sion drug, which had been bur­dened by too much bad da­ta. 

The FDA nev­er tired of shoot­ing them down, de­spite the protests.

Richard Pops

Pops, it turns out, nev­er­the­less bagged a $17 mil­lion com­pen­sa­tion pack­age, up from $9.4 mil­lion. CMO Craig Hop­kin­son picked up $3.8 mil­lion.


Top im­age: John Oyler, the founder and CEO of BeiGene, at #BI­IS18, the US-Chi­na Bio­phar­ma In­no­va­tion and In­vest­ment Sum­mit in Shang­hai on Oc­to­ber 23, 2018  End­points News, Pharm­Cube

Biotech Half­time Re­port: Af­ter a bumpy year, is biotech ready to re­bound?

The biotech sector has come down firmly from the highs of February as negative sentiment takes hold. The sector had a major boost of optimism from the success of the COVID-19 vaccines, making investors keenly aware of the potential of biopharma R&D engines. But from early this year, clinical trial, regulatory and access setbacks have reminded investors of the sector’s inherent risks.

RBC Capital Markets recently surveyed investors to take the temperature of the market, a mix of specialists/generalists and long-only/ long-short investment strategies. Heading into the second half of the year, investors mostly see the sector as undervalued (49%), a large change from the first half of the year when only 20% rated it as undervalued. Around 41% of investors now believe that biotech will underperform the S&P500 in the second half of 2021. Despite that view, 54% plan to maintain their position in the market and 41% still plan to increase their holdings.

Covid-19 vac­cine boost­ers earn big thumbs up, but Mod­er­na draws ire over world sup­ply; What's next for Mer­ck’s Covid pill?; The C-suite view on biotech; and more

Welcome back to Endpoints Weekly, your review of the week’s top biopharma headlines. Want this in your inbox every Saturday morning? Current Endpoints readers can visit their reader profile to add Endpoints Weekly. New to Endpoints? Sign up here.

You may remember that at the beginning of this year, Endpoints News set a goal to go broader and deeper. We are still working towards that, and are excited to share that Beth Snyder Bulik will be joining us on Monday to cover all things pharma marketing. You can sign up for her weekly Endpoints MarketingRx newsletter in your reader profile.

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No­var­tis de­vel­op­ment chief John Tsai: 'We go deep in the new plat­form­s'

During our recent European Biopharma Summit, I talked with Novartis development chief John Tsai about his experiences over the 3-plus years he’s been at the pharma giant. You can read the transcript below or listen to the exchange in the link above.

John Carroll: I followed your career for quite some time. You’ve had more than 20 years in big pharma R&D and you’ve obviously seen quite a lot. I really was curious about what it was like for you three and a half years ago when you took over as R&D chief at Novartis. Obviously a big move, a lot of changes. You went to work for the former R&D chief of Novartis, Vas Narasimhan, who had his own track record there. So what was the biggest adjustment when you went into this position?

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Amit Etkin, Alto Neuroscience CEO (Alto via Vimeo)

A star Stan­ford pro­fes­sor leaves his lab for a start­up out to re­make psy­chi­a­try

About five years ago, Amit Etkin had a breakthrough.

The Stanford neurologist, a soft-spoken demi-prodigy who became a professor while still a resident, had been obsessed for a decade with how to better define psychiatric disorders. Drugs for depression or bipolar disorder didn’t work for many patients with the conditions, and he suspected the reason was how traditional diagnoses didn’t actually get at the heart of what was going on in a patient’s brain.

Susan Galbraith, Executive VP, Oncology R&D, AstraZeneca

As­traZeneca on­col­o­gy R&D chief Su­san Gal­braith: 'Y­ou're go­ing to need or­thog­o­nal com­bi­na­tion­s'

 

Earlier in the week we broadcast our 4th annual European Biopharma Summit with a great lineup of top execs. One of the one-on-one conversations I set up was with Susan Galbraith, the oncology research chief at AstraZeneca. In a wide-ranging discussion, Galbraith reviewed the cancer drug pipeline and key trends influencing development work at the pharma giant. You can watch the video, above, or stick with the script below. — JC

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Roche's Tecen­triq cross­es the fin­ish line first in ad­ju­vant lung can­cer, po­ten­tial­ly kick­ing off gold rush

While falling behind the biggest PD-(L)1 drugs in terms of sales, Roche has looked to carve out a space for its Tecentriq with a growing expertise in lung cancer. The drug will now take an early lead in the sought-after adjuvant setting — but competitors are on the way.

The FDA on Friday approved Tecentriq as an adjuvant therapy for patients with Stage II-IIIA non small cell lung cancer with PD-(L)1 scores greater than or equal to 1, making it the first drug of its kind approved in an early setting that covers around 40% of all NSCLC patients.

Rob Califf (AP Photo/Pablo Martinez Monsivais, File)

Biden like­ly to nom­i­nate Ver­i­ly's Rob Califf to lead the FDA again

Capping a controversially long period for the FDA to go without a permanent leader, President Joe Biden is likely to select Verily’s Rob Califf, a former FDA commissioner under President Obama, as the next FDA commissioner nominee.

A former Duke cardiologist and member of the prestigious National Academy of Medicine, Califf will be a welcome face for an agency grappling with high-profile retirements in CBER and CDER. He’ll also return to a role that he was comfortable in for a short stint at the end of Obama’s presidency. The Washington Post first reported the news.

FDA ad­comm votes unan­i­mous­ly in sup­port of a J&J Covid-19 boost­er two months af­ter one-dose shot

The FDA’s Vaccines and Related Biological Products Advisory Committee (VRBPAC) on Friday voted 19-0 in favor of authorizing a second shot of J&J’s Covid-19 vaccine to follow at least two months after the initial dose.

Regulators don’t have to follow VRBPAC’s recommendation, but they almost always do. Considering that the CDC’s advisory committee has already been set to review the expanded EUA, VRBPAC’s recommendation is likely to be adopted.

Tillman Gerngross, Adagio CEO

Q&A: Till­man Gern­gross ex­plains why his Covid mAb will have an edge over an al­ready crowd­ed field

If anyone knows about monoclonal antibodies, it’s serial entrepreneur, Adimab CEO, and Dartmouth professor of bioengineering Tillman Gerngross.

Even the name of Gerngross’ new antibody startup Adagio Therapeutics is meant to reflect his vision behind the development of his Covid-19 mAb: slowly, he said, explaining that “everyone else, whether it’s Regeneron, Lilly, or AstraZeneca, Vir, they all valued speed over everything.”

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