SEC Form DEF 14A filed by Armata Pharmaceuticals Inc.
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
the Securities Exchange Act of 1934
5005 McConnell Avenue
Los Angeles, CA 90066
TO BE HELD ON JUNE 12, 2024
Chair of the Board of Directors
Los Angeles, California
April 29, 2024
Los Angeles, California 90066
FOR THE 2024 ANNUAL MEETING OF SHAREHOLDERS
TO BE HELD ON JUNE 12, 2024
|
Proposal
Number |
| |
Proposal Description
|
| |
Vote Required for Approval
|
| |
Effect of
Abstentions |
| |
Effect of
Broker Non-Votes |
|
|
1
|
| | Election of Directors | | | Directors are elected by a plurality of the votes of the holders of shares present in person or represented by proxy and entitled to vote on the election of directors. The seven nominees receiving the largest number of votes “For” votes cast will be elected to the Board of Directors. | | |
None
|
| |
None
|
|
|
2
|
| | Non-binding advisory vote on the compensation of our named executive officers | | | The number of shares that cast a vote “For” the proposal must exceed the number of shares that cast a vote “Against” the proposal. | | |
None
|
| |
None
|
|
|
3
|
| | Ratification of the Audit Committee’s selection of Ernst & Young as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2024 | | | The number of shares that cast a vote “For” the proposal must exceed the number of shares that cast a vote “Against” the proposal. | | |
None
|
| |
None
|
|
Name
|
| |
Age
|
| |
Position(s)
|
|
Deborah L. Birx, M.D. | | |
68
|
| | Chief Executive Officer, Director | |
Jules Haimovitz(5) | | |
73
|
| | Director | |
Odysseas D. Kostas, M.D.(3)(5) | | |
50
|
| | Director | |
Robin C. Kramer(1)(4) | | |
59
|
| | Director | |
Joseph M. Patti, Ph.D.(2)(3)(4) | | |
60
|
| | Director | |
Todd C. Peterson, Ph.D.(1)(4) | | |
66
|
| | Director | |
Sarah J. Schlesinger, M.D.(2)(3) | | |
64
|
| | Director | |
a Vote “For” each Named Nominee.
Name
|
| |
Audit
|
| |
Compensation
|
| |
Nominating and
Corporate Governance |
| |
Special Committee
|
| ||||||||||||
Jules Haimovitz | | | | | | | | | | | | | | | | | | | | | | | | | |
Odysseas Kostas, M.D. | | | | | | | | | | | | | | | | | X | | | | | | | | |
Robin C. Kramer | | | | | X* | | | | | | | | | | | | | | | | | | X | | |
Joseph M. Patti, Ph.D. | | | | | | | | | | | X* | | | | | | X | | | | | | X* | | |
Todd C. Peterson, Ph.D. | | | | | X | | | | | | | | | | | | | | | | | | X | | |
Sarah J. Schlesinger, M.D. | | | | | | | | | | | X | | | | | | X* | | | | | | | | |
Todd C. Peterson, Ph.D.
a Vote “For” Proposal 2.
| | |
Fiscal Year Ended
December 31, 2023 |
| |
Fiscal Year Ended
December 31, 2022 |
| ||||||
Armata Pharmaceuticals, Inc. | | | | | | | | | | | | | |
Audit Fees
|
| | | $ | 693,000 | | | | | $ | 415,000 | | |
Audit Related Fees
|
| | | | 37,000 | | | | | | 26,000 | | |
Tax Fees
|
| | | | — | | | | | | — | | |
All Other Fees
|
| | | | 10,000 | | | | | | 10,000 | | |
Total
|
| | | $ | 740,000 | | | | | $ | 451,000 | | |
a Vote “For” Proposal 3.
Name
|
| |
Age
|
| |
Position(s)
|
|
Deborah L. Birx, M.D. | | |
68
|
| | Chief Executive Officer & Director | |
Mina Pastagia, M.D., MS | | |
49
|
| | Chief Medical Officer | |
Richard Rychlik | | |
68
|
| | Principal Financial Officer, Corporate Controller | |
| | |
Beneficial Ownership
|
| |||||||||
Beneficial Owner
|
| |
Number of
Shares |
| |
Percent of
Total |
| ||||||
Greater than 5% Shareholders | | | | | | | | | | | | | |
Innoviva, Inc.
|
| | | | 64,178,259(1) | | | | | | 85.3% | | |
Directors and Named Executive Officers | | | | | | | | | | | | | |
Deborah L. Birx
|
| | | | —(2) | | | | | | — | | |
Jules Haimovitz
|
| | | | 64,331,052(3) | | | | | | 85.3% | | |
Odysseas D. Kostas, M.D.
|
| | | | 64,379,435(4) | | | | | | 85.3% | | |
Robin C. Kramer
|
| | | | 180,793(5) | | | | | | * | | |
Joseph M. Patti, Ph.D.
|
| | | | 201,176(6) | | | | | | * | | |
Todd C. Peterson, Ph.D.
|
| | | | 201,176(7) | | | | | | * | | |
Sarah J. Schlesinger, M.D.
|
| | | | 64,379,435(8) | | | | | | 85.3% | | |
Mina Pastagia, M.D.
|
| | | | 119,828(9) | | | | | | * | | |
Richard Rychlik
|
| | | | —(10) | | | | | | — | | |
Brian Varnum, Ph.D.
|
| | | | 593,156(11) | | | | | | 1.6% | | |
Erin Butler(12)
|
| | | | — | | | | | | — | | |
All current executive officers and directors as a group (9 persons)(13)
|
| | | | 65,436,377 | | | | | | 85.5% | | |
Plan Category
|
| |
Number of
shares underlying outstanding options and restricted stock units |
| |
Weighted-
average exercise price of shares underlying outstanding options |
| |
Number of
securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) |
| |||||||||
| | |
(a)
|
| |
(b)
|
| |
(c)
|
| |||||||||
Equity compensation plans approved by security holders
|
| | | | 3,365,216 | | | | | $ | 5.04 | | | | | | 2,368,160 | | |
Equity compensation plans not approved by security holders
|
| | | | — | | | | | | — | | | | | | — | | |
Total
|
| | | | 3,365,216 | | | | | $ | 5.04 | | | | | | 2,368,160 | | |
Name and Principal Position
|
| |
Year
|
| |
Salary
($) |
| |
Bonus
($) |
| |
Stock
Awards ($)(1) |
| |
Option
Awards ($)(2) |
| |
Non-Equity
Incentive Plan Compensation ($) |
| |
All Other
Compensation ($)(8) |
| |
Total
($) |
| ||||||||||||||||||||||||
Deborah Birx, M.D.
Chief Executive Officer(3) |
| | | | 2023 | | | | | | 251,563 | | | | | | — | | | | | | 478,000 | | | | | | 397,477 | | | | | | — | | | | | | 6,891 | | | | | | 1,133,931 | | |
Mina Pastagia, M.D.
Chief Medical Officer(4) |
| | | | 2023 | | | | | | 456,800 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 6,954 | | | | | | 463,754 | | |
| | | 2022 | | | | | | 420,000 | | | | | | 117,600 | | | | | | — | | | | | | 301,636 | | | | | | — | | | | | | — | | | | | | 839,236 | | | ||
Richard Rychlik
Vice President, Corporate Controller(5) |
| | | | 2023 | | | | | | 96,667 | | | | | | — | | | | | | — | | | | | | 99,260 | | | | | | — | | | | | | 1,813 | | | | | | 197,740 | | |
Brian Varnum, PhD.
Former Chief Executive Officer(6) |
| | | | 2023 | | | | | | 331,002 | | | | | | — | | | | | | — | | | | | | (252,800) | | | | | | — | | | | | | 555,938 | | | | | | 634,140 | | |
| | | 2022 | | | | | | 525,000 | | | | | | 210,000 | | | | | | — | | | | | | 904,908 | | | | | | — | | | | | | — | | | | | | 1,639,908 | | | ||
Erin Butler
Former Vice President, Finance Administration(7) |
| | | | 2023 | | | | | | 130,959 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 156,349 | | | | | | 287,308 | | |
| | | 2022 | | | | | | 275,000 | | | | | | 66,000 | | | | | | — | | | | | | 188,522 | | | | | | — | | | | | | — | | | | | | 529,522 | | |
| | |
Option Awards
|
| |
Stock Awards
|
| ||||||||||||||||||||||||||||||
Name
|
| |
Number of
securities underlying unexercised options (#) exercisable |
| |
Number of
securities underlying unexercised options (#) unexercisable |
| |
Option
exercise price ($) |
| |
Option
Expiration Date |
| |
Number of
shares or units of stock that have not vested (#) |
| |
Market
value of shares or units of stock that have not vested ($) |
| ||||||||||||||||||
Deborah Birx, M.D.
|
| | | | — | | | | | | 200,000(1) | | | | | $ | 2.39 | | | | | | 12/21/2033 | | | | | | 200,000(1) | | | | | | 648,000 | | |
Mina Pastagia, M.D.
|
| | | | 12,500(2) | | | | | | 12,500(2) | | | | | $ | 5.14 | | | | | | 3/24/2031 | | | | | | | | | | | | | | |
| | | | | 20,000(3) | | | | | | 60,000(3) | | | | | $ | 5.11 | | | | | | 4/12/2032 | | | | | | | | | | | | | | |
Richard Rychlik
|
| | | | — | | | | | | 50,000(4) | | | | | $ | 2.39 | | | | | | 12/21/2033 | | | | | | | | | | | | | | |
Brian Varnum, PhD.
|
| | | | 4,932(5) | | | | | | — | | | | | $ | 38.12 | | | | | | 9/30/2024 | | | | | | | | | | | | | | |
| | | | | 15,193(5) | | | | | | — | | | | | $ | 38.12 | | | | | | 4/21/2024 | | | | | | | | | | | | | | |
| | | | | 321,724(6) | | | | | | — | | | | | $ | 3.15 | | | | | | 9/30/2024 | | | | | | | | | | | | | | |
| | | | | 56,000(6) | | | | | | 28,000(6) | | | | | $ | 5.14 | | | | | | 9/30/2024 | | | | | | | | | | | | | | |
| | | | | 62,500(6) | | | | | | — | | | | | $ | 3.82 | | | | | | 9/30/2024 | | | | | | | | | | | | | | |
| | | | | 60,000(6) | | | | | | 60,000(6) | | | | | $ | 5.11 | | | | | | 9/30/2024 | | | | | | | | | | | | | | |
(a)
|
| |
(b)
|
| |
(c)
|
| |
(d)
|
| |
(e)
|
| |
(f)
|
| |
(g)
|
| |
(h)
|
| |
(i)
|
| ||||||||||||||||||||||||
Year(1)
|
| |
Summary
Compensation Table Total for Principal Executive Officer (“PEO”) 1(2) ($) |
| |
Compensation
Actually Paid to PEO 1(3) ($) |
| |
Summary
Compensation Table Total for PEO 2(2) ($) |
| |
Compensation
Actually Paid to PEO 2(3) ($) |
| |
Average
Summary Compensation Table Total for Non-PEO Named Executive Officers (“NEOs”)(4) ($) |
| |
Average
Compensation Actually Paid to Non-PEO NEOs(5) ($) |
| |
Value of
Initial Fixed $100 Investment Based on Total Shareholder Return (“TSR”)(6) ($) |
| |
Net Income(7)
(Thousands) ($) |
| ||||||||||||||||||||||||
2023
|
| | | | 1,133,931 | | | | | | 1,421,104 | | | | | | 634,140 | | | | | | 578,496 | | | | | | 316,267 | | | | | | 357,361 | | | | | | 107 | | | | | | (69,045) | | |
2022
|
| | | | 1,639,908 | | | | | | (347,905) | | | | | | — | | | | | | — | | | | | | 586,033 | | | | | | 278,524 | | | | | | 41 | | | | | | (36,917) | | |
2021
|
| | | | 1,475,935 | | | | | | 2,600,918 | | | | | | 1,379,569 | | | | | | 2,027,620 | | | | | | 654,805 | | | | | | 1,115,536 | | | | | | 181 | | | | | | (23,155) | | |
| | |
FY 2022
|
| |
FY 2021
|
| ||||||||||||||||||||||||
Adjustments:
|
| |
PEO
Varnum |
| |
Other NEOs
Average(c) |
| |
PEO
Varnum |
| |
PEO
Patrick |
| |
Other NEOs
Average(c) |
| |||||||||||||||
Total from Summary Compensation Table
|
| | | $ | 1,639,908 | | | | | $ | 586,033 | | | | | $ | 1,475,935 | | | | | $ | 1,379,569 | | | | | $ | 654,805 | | |
Adjustments for stock and options awards
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Deduct: SCT Amounts(a)
|
| | | | (904,908) | | | | | | (163,386) | | | | | | (780,403) | | | | | | (529,819) | | | | | | (135,685) | | |
Add: Fair value of equity granted during
fiscal year, outstanding and unvested as of end of fiscal year(b) |
| | | | 297,600 | | | | | | 53,733 | | | | | | 1,298,760 | | | | | | 613,760 | | | | | | 306,880 | | |
Add (Deduct): Change in fair value of equity
granted in prior year that is outstanding and unvested at the end of fiscal year(b) |
| | | | (1,194,828) | | | | | | (156,767) | | | | | | 480,235 | | | | | | 328,718 | | | | | | 215,453 | | |
Add (Deduct): Change in fair value for awards granted in prior fiscal years that vested in fiscal year(b)
|
| | | | (185,677) | | | | | | (41,089) | | | | | | 126,391 | | | | | | 235,392 | | | | | | 74,083 | | |
Total adjustments for stock and option awards
|
| | | | (1,987,813) | | | | | | (307,508) | | | | | | 1,124,983 | | | | | | 648,051 | | | | | | 460,731 | | |
Compensation Actually Paid (as calculated)
|
| | | $ | (347,905) | | | | | $ | 278,524 | | | | | $ | 2,600,918 | | | | | $ | 2,027,620 | | | | | $ | 1,115,536 | | |
| | |
FY 2023
|
| |||||||||||||||
Adjustments:
|
| |
PEO
Birx |
| |
PEO
Varnum |
| |
Other NEOs
Average(c) |
| |||||||||
Total from Summary Compensation Table
|
| | | $ | 1,133,931 | | | | | $ | 634,140 | | | | | $ | 316,267 | | |
Adjustments for stock and options awards
|
| | | | | | | | | | | | | | | | | | |
Deduct: SCT Amounts(a)
|
| | | | (875,477) | | | | | | — | | | | | | (33,087) | | |
Add: Fair value of equity granted during fiscal year, outstanding and unvested as of end of fiscal year(b)
|
| | | | 1,162,650 | | | | | | — | | | | | | 43,032 | | |
Add (Deduct): Change in fair value of equity granted in prior year that
is outstanding and unvested at the end of fiscal year(b) |
| | | | — | | | | | | 5,713 | | | | | | 36,606 | | |
Add (Deduct): Change in fair value for awards granted in prior fiscal years that vested in fiscal year(b)
|
| | | | — | | | | | | 60,616 | | | | | | 10,772 | | |
(Deduct): The amount of fair value at the end of prior year for awards granted in prior years that forfeited during the fiscal year
|
| | | | — | | | | | | (121,973) | | | | | | (16,229) | | |
Total adjustments for stock and option awards
|
| | | | 287,173 | | | | | | (55,644) | | | | | | 41,094 | | |
Compensation Actually Paid (as calculated)
|
| | | $ | 1,421,104 | | | | | $ | 578,496 | | | | | $ | 357,361 | | |
Name
|
| |
Fees Earned
or Paid in Cash ($) |
| |
Option
Awards ($)(1) |
| |
All Other
Compensation ($) |
| |
Total ($)
|
| ||||||||||||
Jules Haimovitz
|
| | | | 54,690 | | | | | | 20,187 | | | | | | — | | | | | | 74,877 | | |
Odysseas Kostas
|
| | | | 44,000 | | | | | | 20,187 | | | | | | — | | | | | | 64,187 | | |
Robin C. Kramer
|
| | | | 85,310 | | | | | | 20,187 | | | | | | — | | | | | | 105,497 | | |
Joseph Patti
|
| | | | 66,000 | | | | | | 20,187 | | | | | | — | | | | | | 86,187 | | |
Todd Peterson
|
| | | | 53,000 | | | | | | 20,187 | | | | | | — | | | | | | 73,187 | | |
Sarah J. Schlesinger
|
| | | | 46,000 | | | | | | 20,187 | | | | | | — | | | | | | 66,187 | | |
Board of Directors:
|
| |
Stock Options
Outstanding |
| |
Stock Options
Exercisable |
| ||||||
Jules Haimovitz
|
| | | | 73,461 | | | | | | 46,500 | | |
Odysseas Kostas
|
| | | | 121,844 | | | | | | 94,883 | | |
Robin C. Kramer
|
| | | | 101,461 | | | | | | 74,500 | | |
Joseph Patti
|
| | | | 121,844 | | | | | | 94,883 | | |
Todd Peterson
|
| | | | 121,844 | | | | | | 94,883 | | |
Sarah J. Schlesinger
|
| | | | 121,844 | | | | | | 94,883 | | |
Chair of the Board of Directors
Los Angeles, California
April 29, 2024