Last week, Panacos Pharma (PANC) filed this 8-K announcing its new CFO, Peyton Marshall, who two days into his job is already looking like a very smart financial executive. That’s because as part of his employment agreement, Marshall was granted 540K Panacos options at $6.45 a share. The options start vesting next month and continue to vest each month for the following 47 months.
What makes Marshall so smart is that earlier today, Panacos announced that one of its experimental drugs was showing promising results in fighting resistant strains of HIV, which sent the stock up over 50% this morning. So assuming Panacos” stock is still trading at $11 a share on Sept. 17, when the first batch of options are exercisable, Marshall stands to pocket $60K.
So here’s another lesson for footnoted.org readers — one of whom pointed out the PANC filing to me in the first place: when a new CFO, particularly a veteran financial executive like Marshall, gets huge stock grants that start vesting pretty quickly, it may be time to snap up some shares. Buying Panacos’ shares on Friday, when the Form 4 was filed, would have made for a very happy Monday indeed.