A nice chunk of change for 8 months of work.
Valeant chief executive Joe Papa, who joined the Canadian drugmaker from Perrigo in May 2016, received $62.7m in compensation for the year ended December 31, the company said in a filing with the Securities and Exchange Commission on Thursday. He had gained prominence for successfully fending off a hostile $27bn bid for Perrigo from Mylan.
But Valeant’s shares have declined by 67.2 per cent since he joined the company.
Mr Papa’s compensation consists of a salary of $980,769 and a bonus of $9.1m — an $8m sign-on bonus compensating him for Perrigo shares he forfeited and a $1.1m bonus awarded by the Talent and Compensation Committee for his individual performance in 2016. His stock and option awards totaled nearly $52m.
Valeant shares have sagged as the company straddles more than $28bn of debt it amassed during former CEO Michael Pearson’s tenure as he led a slew of acquisitions. The drugmaker has also struggled to recover from an accounting scandal linked to mail-order pharmacies.
Earlier this month, it was revealed that Bill Ackman’s Pershing Square exited its stake in the company and Mr Ackman expressed that he would leave the board, along with Pershing Square’s vice-chairman Steve Fraidin, at Valeant’s annual shareholder meeting in the spring.