Arthur Kuan
About Arthur Kuan
Arthur Kuan, age 34, is Chairman and Chief Executive Officer of CG Oncology (director since 2017; Chairman since December 2023). He holds an M.S. in Biotechnology from Johns Hopkins University and a B.A. in Biology from the University of Pennsylvania. Prior to CG Oncology, he worked in healthcare investing and company-building roles, including Ally Bridge Group, Themes Investment Partners, and Dinova Capital, and served on Moffitt Cancer Center’s IP Commercialization Strategy Committee (2017–2024) . Under CG Oncology’s current plan, the company reported monotherapy complete response (CR) rates of 75.5% in Phase 3 BOND-003 Cohort C (BCG‑unresponsive NMIBC) with durable responses (median DoR not reached; >28 months as of Jan 20, 2025) and expects to initiate a BLA submission in 2H 2025 .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Ally Bridge Group | Founding Member | Jan 2013–Jul 2015 | Healthcare-focused investing; portfolio company oversight exposure |
| Themes Investment Partners | Investment professional | Not disclosed | Coordinated cross-border technology transfer and regulatory submissions for portfolio companies |
| Dinova Capital | Operations (early career) | Not disclosed | Evaluated medtech investments; incubator experience |
| Moffitt Cancer Center | IP Commercialization Strategy Committee member | Nov 2017–Jan 2024 | Translational/technology commercialization input in oncology |
External Roles
| Organization | Role | Years | Committees/Notes |
|---|---|---|---|
| Chunghwa Chemical Synthesis & Biotech | Director | Since 2022 | Compensation Committee and Audit Committee member |
| Allied Industrial Corp., Ltd. | Director | 2016–2023 | Public company board experience in industrials |
Board Service & Governance (CG Oncology)
- Board service: Director since 2017; Chairman since Dec 2023; no board committee memberships .
- Dual role: CEO and Chairman structure with a Lead Independent Director (Dr. Leonard Post, appointed in 2018) empowered to set agendas, chair executive sessions, and facilitate independent oversight .
- Committee independence: Audit, Compensation, and Nominating & Corporate Governance Committees are fully independent per Nasdaq rules .
- Attendance: In 2024, the Board met 9 times; no director attended <75% of meetings except James Mulé (scheduling conflicts) .
- Independence: The Board affirmed independence for all directors other than Mr. Kuan .
Fixed Compensation
Multi‑year summary compensation (Named Executive Officer):
| Year | Salary ($) | Bonus ($) | Option Awards ($) | Non‑Equity Incentive Plan Comp ($) | All Other Comp ($) | Total ($) |
|---|---|---|---|---|---|---|
| 2024 | 653,485 | — | 10,135,228 | 382,594 | 1,486 | 11,172,793 |
| 2023 | 449,000 | — | 3,293,022 | 189,000 | 2,974 | 3,933,996 |
2024 base salary adjustment (effective April 1, 2024): $656,250; 5% increase .
2025 employment terms (effective Jan 1, 2025): base salary $690,000; target bonus 60% of base salary (subject to performance objectives) .
Select perquisites (2024): $797 long‑term disability insurance; $531 life insurance, included in “All Other Compensation” .
Performance Compensation
Annual bonus program
- Target bonus opportunity (2024): 55% of adjusted base salary for CEO; corporate goals tied to regulatory, clinical, developmental and operational objectives; Compensation Committee determined 2024 corporate achievement at 106% of target .
- Actual 2024 bonus paid (Q1’25): $382,594 .
| Metric Category | Weighting | Target | Actual | Payout | Notes |
|---|---|---|---|---|---|
| Corporate goals (regulatory/clinical/developmental/operational) | Not disclosed | 100% | 106% | $382,594 (paid) | Targets and weightings not disclosed |
Equity awards and vesting (CEO)
- 2024 annual option grant: 397,800 options at $36.63 (closing price on grant date), vest in equal monthly installments over 4 years from Oct 4, 2024, subject to continuous service .
- Company practice: moving forward, annual refresher awards targeted on or about April 15 each year starting 2025; Compensation Committee does not time grants around MNPI; policy prohibits hedging and restricts pledging without approval .
Selected outstanding option positions (as of Dec 31, 2024)
| Grant Date | Vesting Commencement | Exercisable (#) | Unexercisable (#) | Exercise Price ($) | Expiration | Vesting Terms |
|---|---|---|---|---|---|---|
| 4/19/2021 | 4/19/2021 | 167,483 | — | 1.72 | 4/18/2031 | Historical grant |
| 10/19/2022 | 10/19/2022 | 117,168 | 181,075 | 2.29 | 10/18/2032 | Equal monthly over 4 years |
| 10/9/2023 | 10/9/2023 | 163,891 | 360,492 | 6.68 | 10/8/2033 | Equal monthly over 4 years |
| 12/13/2023 | 12/13/2023 | 21,009 | 62,892 | 12.59 | 12/12/2033 | Equal monthly over 4 years |
| 10/4/2024 | 10/4/2024 | 16,574 | 381,226 | 36.63 | 10/4/2034 | Equal monthly over 4 years |
Clawbacks: Dodd‑Frank–compliant recovery policy implemented; SOX 304 reimbursement applies to CEO/CFO upon certain restatements resulting from misconduct .
Equity Ownership & Alignment
| Holder | Direct Shares | Options Exercisable or Exercisable within 60 Days | Total Beneficial Ownership | % of SO | Notes |
|---|---|---|---|---|---|
| Arthur Kuan | 36,151 | 635,424 | 671,575 | <1% | Based on 76,221,857 SO as of Apr 8, 2025 |
- Hedging/pledging: Insider Trading Policy prohibits hedging and derivatives, prohibits holding in margin accounts, and prohibits pledging without prior Board approval and pre‑clearance for certain officers .
- Ownership guidelines: Not disclosed. Director compensation: CEO receives no additional director fees; director equity/fees program applies to non‑employee directors .
Employment Terms
Key terms from the Amended and Restated Employment Agreement (effective Jan 9, 2025; economics effective Jan 1, 2025)
- Base salary: $690,000; Target bonus: 60% of base salary (performance‑based) .
- Severance (non‑CIC termination without cause): 1.5× base salary (lump sum) + prorated target bonus for year of termination + up to 18 months COBRA premiums; time‑based equity accelerates by 18 months (performance awards contingent on goal attainment) .
- Change‑in‑control (double‑trigger within CIC period): 2.0× base salary (lump sum) + target bonus (lump sum) + up to 24 months COBRA + full accelerated vesting of unvested equity (performance awards contingent on goal attainment) .
- Equity grant timing policy: annual refresher grants intended around April 15 starting 2025 (not timed to MNPI) .
- Clawback policy: Dodd‑Frank compliant; SOX 304 recoupment applies .
| Scenario | Cash Multiple | Bonus Treatment | COBRA | Equity Vesting |
|---|---|---|---|---|
| Termination without cause (outside CIC) | 1.5× base salary | Prorated target bonus (lump sum) | Up to 18 months | Time‑based equity accelerates 18 months; performance awards subject to goals |
| Termination without cause or resignation for good reason (within CIC period) | 2.0× base salary | Target bonus (lump sum) | Up to 24 months | Full acceleration of unvested equity; performance awards subject to goals |
Performance & Track Record
- Clinical milestones: BOND‑003 (Phase 3, BCG‑unresponsive NMIBC, CIS±Ta/T1) CR at any time 75.5%; CR durability at 12/24 months 63.7%/58.7% (median DoR >28 months; no Grade ≥3 TRAEs; 97.3% completed all protocol treatments). Company plans BLA initiation in 2H 2025 .
- Combination data: CORE‑001 (cretostimogene + pembrolizumab) showed 82.9% CR at any time; 57.1%/54.3% maintained CR at 12/24 months; favorable safety profile .
- Pipeline expansion: PIVOT‑006 (Phase 3 IR‑NMIBC) and CORE‑008 (BCG‑naïve and BCG‑exposed cohorts) underway; further toplines expected 2H 2025/2026 .
Investment Implications
- Pay-for-performance alignment: CEO compensation is heavily equity‑based with material multi‑year option grants vesting monthly over four years, aligning incentives with long‑term value creation and milestone delivery (e.g., pending BLA) .
- Retention vs. mobility: Robust severance (1.5× base outside CIC; 2.0× within CIC plus full equity acceleration) lowers near‑term departure risk but also creates sale‑optional value protection in strategic scenarios .
- Selling pressure signals: Monthly vesting across sizeable unvested option tranches can create ongoing Form 4 activity once in the money; however, hedging is prohibited and pledging requires approval, reducing misalignment risks .
- Governance check: Combined CEO/Chair is balanced by an empowered Lead Independent Director and fully independent key committees—helpful for compensation oversight and succession planning .
- 2025 pay trajectory: Higher base ($690k) and increased target bonus (60%) raise fixed/near‑term cash but keep a significant at‑risk component; watch for April‑timed refresher grants under the new equity timing policy .
References
- Proxy/DEF 14A (Apr 25, 2025): director biography, committees, governance, compensation, ownership, policies .
- 10‑K FY2024 (Mar 28, 2025): clinical performance, pipeline, BLA plan .
- 8‑K (Jan 10, 2025): executive employment agreements (severance/CIC) .