Henri Termeer To Leave Genzyme With About $160 Million

Genzyme Chief Executive Henri Termeer is set to walk away with nearly $160...
Genzyme Chief Executive Henri Termeer is set to walk away with nearly $160 million when the sale of his company to Sanofi-Aventis is final.

Genzyme Chief Executive Henri Termeer is set to walk away with nearly $160 million when the sale of his company to French drugmaker Sanofi-Aventis is final - and stands to earn considerably more should Genzyme's multiple sclerosis drug prove as successful as Termeer has predicted.

Termeer is set to receive compensation of $145.9 million from his Genzyme shares, stock options and restricted stock units on completion of the $20.1 billion deal with Sanofi , according to a regulatory filing.

The longtime CEO would also receive $12.5 million in a change of control payment if his employment were terminated with or without cause, according to the filing. Termeer has already said he would leave the company following a brief transition period, which would trigger the additional payment.

In addition to the agreed upon $74 per share price for Genzyme stock, each shareholder will receive one contingent value right (CVR) per Genzyme share, which could increase in value to a maximum $14, primarily based on the company achieving sales milestones for its experimental MS drug Lemtrada.

The CVRs will trade separately on Nasdaq.

If Lemtrada's annual sales eventually hit $2.8 billion and the company reached earlier manufacturing and regulatory goals, Termeer's take would be an additional $62.8 million from his CVRs, according to the filing.

At the time the companies sealed their deal, Sanofi CEO Chris Viehbacher joked that if Lemtrada sales actually got to $2.8 billion he would personally deliver the check to Termeer, along with a bottle of his favorite wine.

Sanofi earlier on Monday said it had extended its offer for all outstanding shares of Genzyme until April 1 from March 16.

 

Free Virtual Event

ProteiNext 2025

ProteiNext 2025

ProteiNext is an annual symposium that offers a platform for sharing insights on protein analysis

Whitepaper

Excellence in Pharmaceutical Distribution and The Critical Role of Good Distribution Practice (GDP)
Setting the Standard

Excellence in Pharmaceutical Distribution and The Critical Role of Good Distribution Practice (GDP)

Are you ready to elevate your pharmaceutical operations? Download our exclusive whitepaper and discover how compliance with Good Distribution Practice (GDP) is essential for the safety and integrity of pharmaceuticals.