Kurt Gustafson
About Kurt Gustafson
Kurt A. Gustafson is Executive Vice President, Finance and Chief Financial Officer of OmniAb (since November 2022), age 57, with 30+ years in biopharma finance including senior roles at Spectrum, Halozyme, and Amgen; he serves on the board of Xencor. He holds a B.A. in accounting from North Park University and an M.B.A. from UCLA Anderson. OmniAb’s incentive design for executives includes corporate performance-based bonuses and long-term equity; 2022 PSUs tied partly to combined TSR versus the Nasdaq Biotechnology Index were certified at 158% achievement in January 2025, indicating above-target TSR performance for the PSU component .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Spectrum Pharmaceuticals, Inc. | Executive Vice President & Chief Financial Officer | 2013–2022 (since June 2013; prior to joining OmniAb) | Led finance at a public biopharma through portfolio and capital markets cycles . |
| Halozyme Therapeutics, Inc. | Vice President & Chief Financial Officer | 2009–2013 | Public-company CFO; foundational finance leadership pre-Spectrum . |
| Amgen Inc. | Vice President, Finance; Treasurer; VP Finance & CFO of Amgen International (Switzerland) | Over 18 years, ended 2009 | Global finance leadership; international CFO experience and treasury . |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| Xencor, Inc. | Director | Current | Public biopharma board service . |
Fixed Compensation
| Metric | 2023 | 2024 |
|---|---|---|
| Base salary paid ($) | 456,134 | 476,684 |
| Base salary rate ($) | — | 480,500 |
| Target bonus (%) | 45% of base | 45% of base |
| Annual bonus paid ($) | 205,260 | 193,057 |
| RSU grant-date fair value ($) | 152,344 | 229,125 |
| Stock option grant-date fair value ($) | 472,241 | 765,497 |
| All other compensation ($) | 7,828 (life insurance $828 + 401(k) match $7,000) | 7,744 (life insurance $744 + 401(k) match $7,000) |
Performance Compensation
| Component | Metric | Target | Actual/Payout | Vesting/Timing |
|---|---|---|---|---|
| Annual cash bonus (2024) | Corporate objectives (Technology innovation; Deals/alliances growth; Business ops/financial incl. year-end cash; Culture/ESG) | 45% of base salary | $193,057 paid, based on HCMCC assessment of goals | Paid Q1 2025 |
| PSUs (granted 2022) | Two components: (1) Business Combination timing; (2) Combined TSR vs Nasdaq Biotechnology Index | Target PSUs; “threshold” levels defined; target shares outstanding at 12/31/24: 17,438 | (1) 100% achieved at closing; (2) 158% certified Jan 2025 | Vested upon certification; remaining tranche certified Jan 2025 |
- 2024 bonus program metrics included deployment of “long CDR-H3 chicken” tech, OmniHub launch, expanding partner base and active programs by ~10%, operational resiliency, investor outreach, meeting target year-end cash, ESG and risk mitigation progress .
- OmniAb has not granted PSUs to NEOs “to date” other than the 2022 PSU program related to the Business Combination and TSR; routine long-term awards are options and RSUs .
2024 Equity Award Vesting Schedules (granted Feb 16, 2024)
- Stock options: 12.5% vests on Aug 16, 2024, then in 42 substantially equal monthly installments; 10-year term; strike at grant-date fair market value .
- RSUs: Vest in three equal annual installments on Feb 16, 2025, 2026, 2027 .
Equity Ownership & Alignment
| Ownership Detail | Amount |
|---|---|
| Total beneficial ownership (shares) | 1,149,170; less than 1% of outstanding |
| Shares outstanding used for % | 122,335,336 (incl. 16,292,542 Earnout Shares) |
| Common shares owned | 223,828 (incl. 72,872 Earnout Shares) |
| Options exercisable within 60 days | 925,342 |
| Unvested RSUs at 12/31/24 | 137,453 (aggregate across grants) |
| PSUs outstanding at 12/31/24 (target) | 17,438; TSR portion certified at 158% in Jan 2025 |
| Hedging/pledging | Prohibited for officers/directors (no pledging, hedging, margin purchases, puts/calls/derivatives) |
Outstanding Option Awards (as of 12/31/24)
| Grant | Exercisable (#) | Unexercisable (#) | Exercise Price ($) | Expiration |
|---|---|---|---|---|
| 4/8/2022 | 232,515 | 116,245 | 12.39 | 4/8/2032 |
| 12/7/2022 | 348,760 | 348,760 | 3.68 | 12/7/2032 |
| 4/7/2023 | 101,562 | 142,188 | 3.75 | 4/7/2033 |
| 2/16/2024 | 50,781 | 192,969 | 5.64 | 2/16/2034 |
Employment Terms
| Provision | Terms |
|---|---|
| Change-in-control severance (double-trigger) | If terminated without cause or resigns for good reason within 24 months post-CIC: lump sum of (1) 1x base salary; (2) 1x greater of max target bonus for termination year or CIC year; (3) 12× monthly COBRA premium for executive and dependents; time-based equity awards vest; option post-termination exercise window extended to 9 months (not beyond original expiry) . |
| Definitions | “Cause” includes felony conviction/plea, willful material breach not cured, gross negligence/willful misconduct (fraud, dishonesty, embezzlement), failure/refusal to perform duties not cured . “Good reason” includes material diminution of authority/duties/compensation, material relocation, or material breach by company; notice/cure periods apply . |
| General severance plan (non-CIC) | Lump sum for earned salary/vacation; salary continuation equal to two months plus one week per year of service; continued health coverage at employee rate during severance period; subject to release; not available if eligible under CIC agreement . |
| Clawback | Mandatory recovery of erroneously paid incentive compensation for Section 16 officers after accounting restatement; covers financial metrics-derived incentives, stock/share price, and TSR . |
| Tax gross-ups | None; company does not provide tax gross-ups to NEOs . |
| Benefits | ESPP eligibility; 401(k) with 50% match on first $14,000 up to $7,000; life insurance premiums paid; limited perqs (<$10,000 aggregate) . |
Investment Implications
- Pay-for-performance alignment: 2024 cash bonus is 100% tied to corporate goals; long-term equity heavily option-based with multi-year vesting. The 2022 PSU program’s 158% TSR achievement underscores linkage to relative shareholder returns .
- Retention risk moderate: Significant unvested RSUs (137,453) and unexercisable options plus extended vesting schedules provide retention hooks; CIC agreements are double-trigger with 1x salary+bonus severance—shareholder-friendly compared to higher multiples seen elsewhere .
- Selling pressure considerations: Prohibitions on pledging/hedging reduce alignment risks; upcoming RSU vest dates (Feb 2025–2027) and option monthly vesting could create periodic liquidity events, though no hedging or pledging is permitted .
- Ownership alignment: Beneficial ownership includes both common and near-term exercisable options; stake is <1% of SO, but PSUs and RSUs align upside with shareholders; no executive ownership guidelines disclosed (director guidelines exist) .
- Governance and protections: Robust clawback, no tax gross-ups, and double-trigger CIC vesting mitigate red flags; Section 16 filings were compliant in 2024, reducing regulatory risk signals .