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John Climaco

Lead Independent Director at Moleculin Biotech
Board

About John M. Climaco

John M. Climaco (age 55) has served on Moleculin Biotech, Inc.’s Board since July 2017 and is the Board’s Lead Independent Director under Nasdaq independence standards . He is the Chief Executive Officer of CNS Pharmaceuticals, Inc. (since September 2017) and holds a JD from UC Hastings and a BPhil from Middlebury College, bringing a legal and healthcare leadership background to the Board .

Past Roles

OrganizationRoleTenureCommittees/Impact
Axial Biotech, Inc.President & CEO2002–2012Led DNA diagnostics company
Perma-Fix Medical S.A.Executive Vice President2014–2017Leadership role in healthcare; international exposure

External Roles

OrganizationRoleTenurePublic CompanyNotes
CNS Pharmaceuticals, Inc.Chief Executive OfficerSep 2017–presentYesCurrent CEO; biopharma
Digirad, Inc.Director (prior)Not disclosedYesPrior board service
PDI, Inc.Director (prior)Not disclosedYesPrior board service
InfuSystem Holdings, Inc.Director (prior)Not disclosedYesPrior board service
Birner Dental Management Services, Inc.Director (prior)Not disclosedYesPrior board service

Board Governance

  • Independence: The Board determined all directors except the CEO (Walter Klemp) are independent under Nasdaq rules; Climaco is independent .
  • Lead Independent Director: Climaco leads executive sessions, acts as liaison to the Chair, and approves Board information and agendas, enhancing oversight and checks-and-balances .
  • Attendance: Each incumbent director attended more than 75% of Board and committee meetings in 2023; the Board met 8 times, with Audit (9), Compensation (6), and Nominating & Governance (2) committee meetings held .
  • Committee memberships: Climaco serves on the Audit, Compensation, and Nominating & Corporate Governance Committees (all independent committees); committee chairs are Robert George (Audit, N&G) and Michael Cannon (Compensation) .
Governance ItemDetailCitation
IndependenceIndependent director
Lead Independent Director responsibilitiesExecutive sessions, liaison, agenda/info approval
2023 Meeting countsBoard 8; Audit 9; Comp 6; N&G 2
Committee membershipAudit, Compensation, Nominating & Governance (member)

Fixed Compensation

  • The director compensation policy (2023) provides: $40,000 annual cash retainer; committee chair fees (Audit $15,000; Compensation $10,000; N&G $7,500); committee member fees (Audit $7,500; Compensation $5,000; N&G $3,750); Lead Independent Director fee $15,000; cash paid quarterly .
  • 2023 actual for Climaco: Fees earned $73,897; option award fair value $7,148; total $81,045 .
Component (Policy)Amount (USD)Citation
Annual cash retainer$40,000
Lead Independent Director fee$15,000
Audit Committee chair$15,000
Compensation Committee chair$10,000
Nominating & Governance chair$7,500
Audit Committee member$7,500
Compensation Committee member$5,000
Nominating & Governance member$3,750
Climaco – 2023 ActualAmount (USD)Citation
Fees earned$73,897
Option awards (grant-date fair value)$7,148
Total$81,045

Performance Compensation

  • Equity policy: Upon initial appointment, a 10-year option for 2,000 shares with 3-year annual vesting; annually upon re-election, a 10-year option for 1,000 shares with 1-year vesting; exercise price equals closing price on grant date .
  • Aggregate options held by Climaco at 12/31/2023: 5,169 options outstanding (aggregate across grants) .
MetricPolicy DetailCitation
Initial director option2,000 shares; 10-year term; 3-year annual vesting; at-market strike (closing price)
Annual re-election option1,000 shares; 10-year term; 1-year vesting; at-market strike (closing price)
Options outstanding (12/31/2023)5,169 shares

Other Directorships & Interlocks

  • Interlock note: Climaco is CEO of CNS Pharmaceuticals; Moleculin’s Chief Scientific Officer, Dr. Donald Picker, concurrently serves as Chief Science Officer of CNS Pharmaceuticals on a part-time basis, indicating an information-flow linkage between entities .

Expertise & Qualifications

  • Legal and executive background across healthcare companies; prior CEO roles and multiple public-company directorships .
  • Lead Independent Director experience and multi-committee service; Board uses Pay Governance LLC as independent compensation consultant for executive and director programs, signaling structured governance processes .

Equity Ownership

  • Holdings are de minimis and comprised solely of options exercisable within 60 days on each date disclosed; no direct common shares reported .
DateShares Beneficially OwnedComposition% of ClassCitation
Aug 26, 20244,651Options exercisable within 60 days<1%
Feb 28, 202514,651Options exercisable within 60 days<1%
Aug 28, 202515,169Options exercisable within 60 days<1%

Governance Assessment

  • Positives: Independent status; Lead Independent Director responsibilities; multi-committee membership; >75% attendance in 2023; adoption of Dodd‑Frank recoupment (clawback) policy effective Oct 2, 2023; director anti‑hedging policy—no hedging without prior approval .
  • Alignment signals: Compensation mix combines cash retainers and modest annual option grants; independent consultant (Pay Governance) supports structured, market‑benchmarked board pay .
  • Potential risk indicators: Very low beneficial ownership and holdings solely in short-term exercisable options suggest limited “skin-in-the-game” relative to outstanding shares; Board-level capital actions include warrant repricing/inducement transactions and repeated shareholder approvals, which can heighten dilution risk and investor sensitivity even though no related-party transactions are disclosed for Climaco personally .

RED FLAGS

  • Minimal equity ownership relative to shares outstanding (all options; <1% at each disclosure date) may weaken ownership alignment .
  • Cross-affiliation with CNS Pharmaceuticals (CEO) alongside Moleculin’s CSO also serving at CNS could create perceived interlocks; no related-party transactions disclosed, but information-flow and potential conflicts warrant monitoring .

Policy & Process Notes

  • No formal policy requiring director attendance at annual meetings; only local directors attended 2023 annual meeting, but overall attendance thresholds at Board/committee levels were met .
  • 2024 proposal eliminated supermajority voting to amend the charter—generally viewed as governance-friendly majority standard .