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Michael Hannay

Chief Product and Supply Chain Officer at BICYCLE THERAPEUTICS
Executive

About Michael Hannay

Michael Hannay, D.Sc., is Chief Product and Supply Chain Officer at Bicycle Therapeutics (BCYC). He joined the company in April 2022 as SVP, Head of CMC, and was promoted to his current role in March 2024, overseeing clinical and commercial supply chain strategy and execution across multiple trials . He holds an M.Sc. in Pharmaceutical Science (University of Brighton), an MBA (Open University), and a Doctor of Science (De Montfort University), with over 30 years of CMC leadership at Thermo Fisher Scientific, Sanofi, Schwarz Pharma, Teva, and AstraZeneca . As of the 2024 proxy, he was 58 years old; BCYC highlights his 2024 contributions leading clinical and commercial supply efforts and planning for future commercialization .

Past Roles

OrganizationRoleYearsStrategic Impact
Bicycle TherapeuticsSVP, Head of CMC → Chief Product & Supply Chain OfficerApr 2022–Mar 2024 → Mar 2024–presentLed clinical and commercial supply chain strategies; managed clinical development supply across multiple trials; advanced commercialization planning .
Medicines Technology Innovation FacilityManaging DirectorSep 2019–Apr 2022Led acceleration of development and commercialization of medical technologies via partnerships with academia and NHS Trusts .
Thermo Fisher Scientific (UK Bio Pharma Services)General ManagerManaged >800 staff across multiple functions in UK Bio Pharma Services .
Sanofi; Schwarz Pharma; Teva; AstraZenecaR&D/CMC leadership rolesLed teams across UK/US/SE in formulations, devices, DS manufacturing processes, and analytics for innovative medicines .

External Roles

OrganizationPositionYearsNotes
BioIndustry AssociationBoard of Directors— (as of 2025)Current directorship disclosed by BCYC .
University of LeicesterHonorary Professor (College of Medicine, Biological Sciences and Psychology)Academic appointment .
De Montfort University (School of Pharmacy)Visiting ProfessorAcademic appointment .

Fixed Compensation

Metric (GBP/USD)20242025
Base Salary£340,000 initial (effective Mar 19, 2024) / $432,864; Summary base salary presentation: $434,622 (FX methodology) £357,000 / $448,074
Target Bonus %45% 50%
Actual Cash Bonus (for 2024 performance)$236,102

Notes: GBP→USD conversions per BCYC disclosures (varied by table: e.g., 1.27313 at 12/31/2023; 1.25511 at 12/31/2024; 12‑month average 1.2783 used in some tables) .

Performance Compensation

Annual Cash Incentive (2024)

ComponentTargetActual PerformancePayout ResultVesting
Target cash bonus$190,934 Corporate 115.0%; Personal 107.5% $236,102 N/A (cash)

Payout formula: Target Opportunity × Company Performance % × Personal Performance % .

2024 Equity Grants (Time-based)

Award TypeGrant DateQuantityExercise/Base PriceGrant Date Fair ValueVesting Terms
Option1/2/202431,000$18.08$393,500 25% after 1 year; remainder monthly over 36 months .
Option (promotion)3/19/202458,000$24.12$984,290 25% after 1 year; remainder monthly over 36 months .
RSU1/2/202416,000$289,280 25% after 1 year; remainder in 12 equal quarterly installments .

Equity program is primarily time-based; BCYC did not disclose PSUs or TSR-based metrics for 2024 NEO grants; RSU/option vesting may accelerate under certain termination/CIC scenarios per plan .

Equity Ownership & Alignment

  • Beneficial ownership: 82,345 shares (<1% of outstanding) .
  • Anti-hedging/anti-pledging: BCYC prohibits executives from hedging, short selling, pledging, or purchasing on margin; applies to all company securities and derivatives .
  • Ownership guidelines: Implemented Dec 2024; CEO at 3x salary; other officers at 1x salary; 5-year compliance window. As of April 14, 2025, all officers/directors were in compliance ahead of the deadline .
  • 2024 vesting/exercises: 3,587 shares vested for Hannay (value realized $71,665); no option exercises by any NEO in 2024 .

Outstanding Equity Awards (as of Dec 31, 2024)

Grant DateTypeExercisable (#)Unexercisable (#)Exercise PriceExpirationUnvested RSUs (#)Market Value of Unvested RSUs (at $14.00)
4/12/2022Option33,33316,667$28.814/12/2032
1/3/2023Option7,8588,542$29.601/3/2033
1/3/2023RSU4,613$64,582
1/2/2024Option31,000$18.081/2/2034
1/2/2024RSU16,000$224,000
3/19/2024Option58,000$24.123/19/2034

Notes: Year-end share price used for valuation was $14.00, making the 2024 option grants out-of-the-money at year-end (exercise prices $18.08/$24.12) .

Employment Terms

  • Service agreement: Executed March 18, 2024; effective March 19, 2024; role as Chief Product & Supply Chain Officer reporting to CEO .
  • Base salary and bonus targets: 2024 initial base £340,000 (target bonus 45%); 2025 base £357,000 (target bonus 50%) .
  • Term/notice: No fixed term; either party may terminate with at least six months’ written notice; immediate termination for specified conditions with certain accrued obligations and possible payment in lieu of notice; includes customary confidentiality, IP, and post-termination covenants .
  • Clawback: Incentive Compensation Recoupment Policy adopted Oct 2023 to comply with SEC/Nasdaq (Rule 10D-1/Nasdaq 5608); applies to current/former executive officers; covers compensation tied to financial reporting measures in the event of a restatement .
  • Perquisites/retirement: 2024 perquisite/benefit totals for Hannay: medical coverage $1,886; employer pension plan contributions $12,783; employer 401(k) match $23,315; total $37,984 .

Potential Payments on Termination/Change in Control (as of Dec 31, 2024)

ScenarioCash SeveranceBonusBenefits ContinuationEquity Acceleration
Without cause (or Good Reason) in connection with a CIC (double trigger)$640,106$192,032$96,597$288,582
Without cause (or Good Reason) not in connection with a CIC$320,053$48,299
CIC without termination$288,582

Notes: GBP amounts converted at 1 GBP = 1.25511 USD as of 12/31/2024; bonuses reflect target per agreements . BCYC emphasizes double-trigger provisions (no severance solely for CIC) .

Investment Implications

  • Pay-for-performance alignment: Annual bonus linked to corporate (115%) and personal performance (107.5%), with transparent formula and no guaranteed compensation; high say-on-pay support (96.8%) indicates shareholder alignment .
  • Low near-term selling pressure: No 2024 option exercises; year-end options largely out-of-the-money (strikes $18.08–$29.60 vs $14.00 YE price), suggesting limited incentive to sell and retention value via future in-the-money potential .
  • Strong alignment safeguards: Anti-hedging/anti-pledging policy, ownership guidelines (officers at 1x salary; all in compliance as of 4/14/2025), and a compliant clawback policy reduce misalignment and governance risk .
  • Retention risk assessment: Six-month notice, double-trigger severance, and time-based vesting provide continuity through potential strategic events; CIC economics are moderate versus peers, with partial equity acceleration only under double trigger, balancing retention with shareholder protections .
  • Execution track record: 2024 highlights cite Hannay’s leadership of clinical/commercial supply and commercialization planning—key levers as BCYC advances registrational and combo studies; continued success will hinge on scaling supply with pipeline milestones .