Rajeev Saggar
LiquidiaAbout Rajeev Saggar
Rajeev Saggar, M.D. is Chief Medical Officer (CMO) of Liquidia Corporation, age 51, serving since July 2022, overseeing research, clinical development, medical affairs, and regulatory affairs . He holds B.S. and M.D. degrees from UC Irvine, completed Internal Medicine residency and Pulmonary & Critical Care fellowship at UC Irvine, with subspecialty training in pulmonary hypertension and lung transplantation at UC San Diego and UCLA . Company performance context during his tenure: Total Shareholder Return (TSR) rose from $130.80 (FY2022 end) to $241.48 (FY2024 end), while net losses expanded from $41.0M in 2022 to $130.4M in 2024 .
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Company TSR (value of $100) | $130.80 | $247.02 | $241.48 |
| Net Loss ($USD thousands) | $(41,015) | $(78,502) | $(130,394) |
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Liquidia Corporation | Chief Medical Officer | 2022–present | Leads R&D, clinical, medical affairs, and regulatory functions |
| Theravance Biopharma | Vice President, Clinical Development | 2020–2022 | Oversight of clinical development across respiratory portfolio (PF, allograft rejection, asthma, COPD, COVID-19) |
| Evolung, LLC (United Therapeutics subsidiary) | General Manager | 2013–2014 | Managed advanced lung disease program operations |
External Roles
| Institution | Role | Years | Strategic Impact |
|---|---|---|---|
| University of Arizona, College of Medicine – Phoenix | Interim Chief, Pulmonary Critical Care | 2017–2019 | Division leadership in pulmonary critical care |
| Banner University Medical Center, Phoenix | Medical Director, Pulmonary Hypertension & Fibrosis Programs; Lung Transplant Program | 2015–2019 | Directed specialty programs for advanced lung disease |
| Norton Thoracic Institute | Associate Director, Lung Transplant; Medical Director, Advanced Lung Disease | 2011–2013 | Led transplant and advanced lung disease care |
| UCLA | Assistant Professor of Medicine (Lung Transplant & Pulmonary Hypertension Programs) | 2008–2011 | Academic clinician in transplantation and PH |
Fixed Compensation
| Component | Initial Terms | Notes |
|---|---|---|
| Base Salary | $475,000 | Set in Executive Employment Agreement dated June 13, 2022; subject to increases, and up to 10% reduction if applied equally to all execs; at‑will employment |
| Target Bonus % | 40% of base salary | Discretionary annual cash bonus; not pro‑rated for 2022 |
| Sign‑on Bonus | $50,000 | Paid within 30 days of Effective Date; repayable if terminated for Cause or resignation without Good Reason before first anniversary |
| Stock Options | 200,000 options | Exercise price = FMV at grant; vest 25% on first anniversary, then equal monthly installments over 36 months (through year 4) |
| RSUs | $350,000 grant value | 50% vest on first anniversary, remainder vest in equal quarterly installments over two years; fully vest upon death/disability or termination by company without Cause |
Performance Compensation
| Incentive | Metric | Weighting | Target | Actual | Payout | Vesting |
|---|---|---|---|---|---|---|
| Annual Cash Bonus | Corporate goals under Liquidia Bonus Plan | Not disclosed | 40% of base salary | Not disclosed for CMO | Not disclosed for CMO | Annual, per Compensation Committee assessment |
• Company reported corporate goal achievement used for NEO bonuses at 150% (2023) and 72% (2024), indicating variability in bonus outcomes under the plan; Saggar’s actual payout was not disclosed .
Equity Ownership & Alignment
| Item | Status/Amount | Notes |
|---|---|---|
| Form 3 at Appointment | No securities beneficially owned | Initial statement (filed 07/20/2022) indicated no beneficial ownership at appointment |
| Beneficial Ownership (4/23/2025 Record Date) | Not listed | Not included among >5% holders, directors, or NEOs in beneficial ownership table (85,448,787 shares outstanding) |
| Options (CMO agreement) | 200,000 | 25% vest at 1-year, then monthly over 36 months; FMV exercise price at grant |
| RSUs (CMO agreement) | $350,000 grant value | 50% vest at 1-year, remaining vest quarterly over two years; accelerated vesting upon death/disability or termination by company without Cause |
| Anti‑pledging/Hedging | Prohibited | Insider Trading Policy bans pledging, short sales, collars/derivatives without CFO approval |
| Clawback Policy | Adopted Nov 2, 2023 | Recovery of erroneously awarded incentive compensation upon accounting restatements; applies to current/former executive officers |
| Insider Trading Policy | On file | Policy governs trading for directors/officers/employees; filed as Exhibit 19.1 to 2024 10‑K |
Employment Terms
| Term | Detail |
|---|---|
| Start Date | Effective July 18, 2022; appointment announced June 7, 2022 |
| Contract Type | At‑will employment under North Carolina practices |
| Severance/Change‑in‑Control | Company adopted Amended & Restated Executive Severance and Change in Control Plan in May 2024; provides tiered salary continuation, target bonus, COBRA, and 100% unvested equity acceleration for participants upon qualifying terminations within CIC period; participant tiers not disclosed for CMO |
Performance & Track Record
- Product development leadership: highlighted twice‑daily dosing and sustained‐release liposome profile for L606 showing reduced systemic side effects and better coverage; RESPIRE Phase III targeted to initiate by year‑end 2025 .
- Platform differentiation: explained PRINT particle engineering enabling low‑resistance DPI delivery for YUTREPIA with deep lung deposition over broad flow rates, supporting patient utility in PAH/PH‑ILD .
- Market approach: described tailoring inhaled treprostinil therapy to patient severity with potential for rapid escalation or stable maintenance within Group 1 PAH .
Compensation Structure Analysis
- Mix of pay features: CMO package combines fixed cash (base + target bonus) and significant time‑based equity (options + RSUs); no CMO‑specific PSUs disclosed, reducing direct linkage to external performance metrics versus NEO PSU grants .
- Governance safeguards: anti‑hedging/anti‑pledging restrictions and clawback policy strengthen alignment and limit speculative behavior .
- Bonus framework: awards governed by the Bonus Plan tied to corporate goals set by the Compensation Committee; company outcomes have varied YoY (150% in 2023; 72% in 2024 for NEOs), implying sensitivity of payouts to milestones .
Vesting Schedules and Potential Supply Overhang
| Award | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|
| Options (200,000) | Grant (FMV price) | 25% vest on 7/18/2023; begin monthly vesting | Ongoing monthly vesting | Ongoing monthly vesting | Final monthly vest by 7/18/2026 |
| RSUs ($350,000) | Grant | 50% vest on 7/18/2023 | Quarterly vest continues | Final quarterly vest by 2025 (two years post‑grant) | — |
• Insider selling pressure: No Form 4 transactions were identified in our search; equity vesting milestones (2023–2026) may create periodic liquidity opportunities subject to trading windows and policy constraints .
Risk Indicators & Red Flags
- Pledging/Hedging: Prohibited under Insider Trading Policy, mitigating alignment risks .
- Clawback: Nasdaq‐compliant recovery policy covering incentive‑based compensation upon restatements .
- Related party transactions: No CMO‑specific related party transactions disclosed; company disclosed offerings involving board‐affiliated holders in 2024 .
Investment Implications
- Alignment: Time‑based equity and strict anti‑pledging/hedging plus clawback policy support alignment, though absence of disclosed CMO PSUs limits direct pay‑for‑performance linkage compared to NEOs .
- Retention: Multi‑year vesting of options/RSUs (through 2026) and potential participation in the 2024 Severance Plan (tier not disclosed) reduce near‑term retention risk .
- Trading signals: Vesting clusters (50% RSU in July 2023; ongoing option monthly vest to July 2026) are potential supply events but constrained by policies; no Form 4 activity found in our review .
- Execution: Public remarks indicate clinical momentum (YUTREPIA differentiation; L606 Phase III plans), but company financials show increasing net losses, requiring continued capital discipline to translate R&D leadership into value .