Paul Little
Eledon PharmaceuticalsAbout Paul Little
Paul Little (age 61) is Chief Financial Officer of Eledon Pharmaceuticals, serving since March 2021, with 30+ years of finance, operations, strategy, and leadership experience across public healthcare companies; he holds a B.A. in Business Economics from UC Santa Barbara . Eledon remains a clinical-stage, pre-revenue biotech; company TSR (base $100 at 12/31/2021) was $51.70 (2022), $40.82 (2023), and $93.42 (2024), and net losses were $87.97M (2022), $116.54M (2023), and $36.18M (2024), reflecting equity-heavy pay dynamics tied primarily to operational milestones rather than financial goals . In 2024 the company executed significant financings (a $50M private placement in May and an $85M underwritten offering in October), which are relevant to CFO execution and capital strategy during his tenure .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Sientra Inc. | Chief Financial Officer | Aug 2018 – Mar 2021 | Led finance, IR, IT, and manufacturing; executed multiple public financings, strengthened balance sheet, improved cash flow . |
| Candela Medical (formerly Syneron-Candela) | Chief Operating Officer | Oct 2016 – Sep 2017 | Led global supply chain and service; supported execution of growth strategy culminating in a sale of the company . |
| Allergan plc, Medical Aesthetics | VP, Finance & Commercial Operations | Not disclosed | Built commercial finance, commercial ops and customer ops; led financial assessment and integration of >$3B in M&A activity . |
| ConAgra Brands; KPMG LLP | Various finance and public accounting roles | Not disclosed | Early-career finance and accounting foundation . |
Fixed Compensation
| Metric | 2023 | 2024 |
|---|---|---|
| Base Salary ($) | $441,448 | $459,431 |
| Target Bonus (%) | 40% | 40% |
| Actual Bonus Paid ($) | $159,506 | $242,378 |
| All Other Compensation ($) | $21,090 | $22,680 |
Notes:
- 2024 base salary approved schedule also lists $460,794; salary reported in the Summary Compensation Table is $459,431 for 2024 .
Performance Compensation
| Metric | Weighting | Target | Actual | Payout | Vesting/Timing |
|---|---|---|---|---|---|
| 2024 Corporate Goals (R&D and CMC) | 70% | 100% of weighted component | Included in aggregate | Included in aggregate | Annual cash bonus; paid Dec 2024 . |
| 2024 Corporate Goals (Financial) | 30% | 100% of weighted component | Included in aggregate | Included in aggregate | Annual cash bonus; paid Dec 2024 . |
| 2024 Annual Bonus (Aggregate) | 100% | 100% of target | 132.5% corporate achievement; individual modifier applied | $242,378 (Little) | Paid December 2024 . |
Additional equity-performance context:
- Equity grants in May 2023 carried both time-based and performance-based vesting tied to clinical milestones and market/volume conditions in the 2023 financing; terms were amended in Dec 2023 to make vesting conditions more difficult; performance milestones were satisfied on June 13, 2024 and Nov 20, 2024, issuing 5,763,085 performance-based options in aggregate to participants (no new NEO option grants in 2024) .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Total Beneficial Ownership | 878,440 shares; 1.4% of outstanding as of 3/31/2025 . |
| Direct Common Shares | 10,000 shares . |
| Options Exercisable (within 60 days of 3/31/2025) | 868,440 options . |
| Pledging/Hedging | Company policy prohibits short sales, derivatives on company securities, and hedging/pledging transactions for officers and directors . |
| Ownership Guidelines | Not disclosed in the proxy. |
Outstanding option grants (Paul Little) at 12/31/2024:
| Grant (by strike) | Exercisable (#) | Unexercisable (#) | Exercise Price ($) | Expiration | Vesting Schedule Summary |
|---|---|---|---|---|---|
| 2023 grants (tranches) | 74,297 | 123,829 | 2.30 | 05/01/2033 | 25% on 5/1/2024; then 6.25% quarterly to 5/1/2027 . |
| 2023 grants (tranches) | 100,301 | 167,169 | 2.30 | 05/01/2033 | Same schedule as above . |
| 2023 grants (tranches) | 196,887 | 328,145 | 2.30 | 05/01/2033 | Same schedule as above . |
| 2023 grant | 67,813 | 87,187 | 3.08 | 02/01/2033 | 25% on 2/1/2024; then 6.25% quarterly to 2/1/2027 . |
| 2022 grant | 106,563 | 48,437 | 3.97 | 02/01/2032 | 25% on 2/1/2023; then 6.25% quarterly to 2/1/2026 . |
| 2021 grant | 150,000 | 10,000 | 13.94 | 03/15/2031 | 25% on 3/15/2022; then 6.25% quarterly to 3/15/2025 . |
- As of 12/31/2024, the above table implies 695,861 options exercisable and 764,767 unexercisable; as of 3/31/2025, 868,440 options were exercisable or would become exercisable within 60 days (ownership table basis) .
Employment Terms
| Term | Detail |
|---|---|
| Employment | At-will; CFO since March 15, 2021 . |
| Target Annual Bonus | 40% of base salary under the Performance Bonus Plan . |
| Severance (no change in control) | If terminated without cause or resigns for good reason: 9 months base salary; up to 9 months COBRA; accelerated vesting of time-based equity that would vest over next 9 months . |
| Change-in-Control (termination “in connection with CoC”) | 1x base salary plus annual target bonus; full acceleration of time-based equity; lump-sum bonus equal to greater of current-year target or prior-year target bonus; up to 12 months COBRA . |
| Bonus Plan Mechanics | Corporate goals set annually; 2024 weights were 70% R&D/CMC and 30% financial; aggregate achievement 132.5% with individual modifiers; bonuses paid December 2024 . |
| Clawback / Restatement Note | Company determined 2024 accounting restatement did not require recovery of any executive compensation . |
| Insider Policy | Insider Trading Policy on file; prohibits short sales and hedging/pledging of company shares . |
Multi‑Year Compensation (Paul Little)
| Metric | 2023 | 2024 |
|---|---|---|
| Salary ($) | $441,448 | $459,431 |
| Non‑Equity Incentive (Annual Bonus) ($) | $159,506 | $242,378 |
| Option Awards (Grant-Date Fair Value) ($) | $699,132 | $2,365,846 |
| All Other Compensation ($) | $21,090 | $22,680 |
| Total ($) | $1,321,176 | $3,090,335 |
Compensation Structure Analysis
- Pay mix skew: Large increase in equity compensation in 2024 driven by vesting and valuation effects; no new 2024 option grants to NEOs, but 2023 performance-based awards vested in 2024 as milestones were achieved .
- Metric design: Emphasis on operational (R&D/CMC) and financial execution vs. GAAP profitability; company explicitly notes compensation is not tied to net income given clinical-stage status .
- Award rigor: December 2023 amendment made performance-vesting conditions more difficult; subsequent milestone satisfaction in 2024 triggered vesting, suggesting threshold rigor with execution linkage .
Risk Indicators & Red Flags
- Dilution capacity: As of 3/31/2025, 199.9M shares were outstanding or reserved; the board seeks to increase authorized shares from 200M to 300M to preserve financing flexibility, which can be dilutive to existing holders and impacts option value dynamics .
- Governance development: Proposal to extend DGCL officer exculpation to senior officers reflects alignment with market practice but modestly reduces personal monetary exposure in certain direct shareholder suits (no effect on derivative claims) .
- Hedging/pledging: Prohibited—reduces misalignment risk from collateralized share loans or hedges .
- Restatement: 2024 restatement did not necessitate clawback of executive compensation—no recovery events disclosed .
Investment Implications
- Alignment: Little’s economic exposure (1.4% beneficial ownership, predominantly via options) aligns him with equity value creation; prohibitions on hedging/pledging reinforce alignment .
- Retention and turnover risk: Severance protections are moderate (9 months cash/no‑CoC; 1x salary+target bonus with CoC plus full acceleration), balancing retention with shareholder protections; double‑trigger structure reduces windfall risk .
- Trading/overhang signals: Meaningful option overhang with multiple tranches vesting through 2027 and low-to-mid single-digit strike prices ($2.30–$3.97) alongside a legacy $13.94 grant could create episodic selling pressure around vesting/exercise windows; the broader capital program (large authorizations, warrants, and ATM facility) adds dilution sensitivity to catalysts .
- Execution track record: Capital formation in 2024 and milestone-linked equity vesting in 2024 indicate progress on clinical and financing milestones during his tenure, supportive of pay-for-performance linkage even as the company remains pre‑revenue with improving net loss trend in 2024 .