Neil Almstead
PTC THERAPEUTICSAbout Neil Almstead
Neil Almstead, Ph.D., is Chief Technical Operations Officer at PTC Therapeutics, age 58, serving in this role since December 2018 after joining PTC in 2000. He holds a B.S. from Clarkson University and a Ph.D. in Organic Chemistry from the University of Illinois at Urbana-Champaign, with over 75 publications and patents in drug design for genetic disorders, oncology, and inflammatory diseases . In 2024, corporate performance exceeded targets, with total revenue approximately $806.8 million against a target range of $600–$680 million, and the Compensation Committee set the corporate bonus rating at 145% based on high execution; the program considers total shareholder return (TSR), though specific TSR values were not disclosed . Almstead’s individual modifier was 1.1, reflecting contributions including CMC leadership on the BLA for Kebilidi (the company’s first FDA approval), facilities consolidation, sale of the gene therapy manufacturing business, and research reorganization .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| PTC Therapeutics | CTO | Dec 2018 – Present | Led research, supply chain, technical operations, manufacturing, and facilities; CMC leadership on Kebilidi BLA; footprint consolidation; research reorganization . |
| PTC Therapeutics | EVP, Research, Pharmaceutical Operations & Technology | Jan 2015 – Dec 2018 | Oversaw integrated research and operations functions . |
| PTC Therapeutics | SVP, Research & CMC | Jul 2008 – Dec 2014 | Led research and chemistry, manufacturing, and controls . |
| PTC Therapeutics | SVP, Chemistry & CMC | Jan 2007 – Jun 2008 | Led chemistry and CMC functions . |
| Procter & Gamble | Project Manager | Not disclosed | Project management in a global consumer products environment, prior to joining PTC . |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| — | — | — | No external board roles disclosed for Almstead in the proxy . |
Fixed Compensation
| Component | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary (paid) ($) | $514,833 | $531,000 | $560,600 |
| Base Salary Rate (set by Committee) ($) | — | — | $566,000 (effective Mar 1, 2024) |
| Target Bonus (%) | — | — | 50% of base salary |
| All Other Compensation ($) | $20,238 | $22,823 | $23,713 |
Performance Compensation
Annual Cash Incentive Calculation (2024)
| Metric | Target | Actual | Payout |
|---|---|---|---|
| Base Salary | — | $560,600 | — |
| Target Bonus % | 50% | — | — |
| Corporate Rating | 145% | — | — |
| Individual Modifier | 1.10 (Almstead) | — | — |
| Incentive Award ($) | — | — | $451,400 |
Formula: Incentive Award = Base Salary × Target Bonus % × Corporate Rating × Individual Modifier = $560,600 × 50% × 145% × 1.10 ≈ $451,400 .
2024 Corporate KPIs Driving the Corporate Rating
| KPI | Target | Actual/Outcome | Weighting | Notes |
|---|---|---|---|---|
| Total Revenues | $600–$680M | ~$806.8M | Not disclosed | Commercial outperformance in DMD franchise; expansion to MENA and LATAM . |
| GAAP R&D + SG&A | $740–$835M | ~$835.4M | Not disclosed | Slight additional spend attributed to continued EU commercialization and added NDAs . |
| Non-GAAP R&D + SG&A | $660–$755M (excl. ~$80M SBC; up to $90M contingent payments) | ~$760.8M | Not disclosed | Above range due to strategic positives . |
| Business Development | In-licensing with near-term revenue; research partner identification | Novartis License (PTC518) $1.0B upfront; partners identified | Not disclosed | KDIs achieved; additional cash strengthened . |
| R&D Advancement | Multiple filings & study milestones | Kebilidi FDA approval; NDAs accepted (sepiapterin, ataluren, vatiquinone); PTC518 Phase 2 progress & designations | Not disclosed | Achievements across late- and early-stage programs . |
Equity Ownership & Alignment
Beneficial Ownership (as of April 21, 2025)
| Holder | Shares/Options | % Outstanding |
|---|---|---|
| Neil Almstead (total) | 428,518 (370,608 options exercisable within 60 days; 52,003 shares direct; 5,907 shares spouse; spouse disclaimed) | <1% |
| Stock Ownership Guidelines | 1× three-year average cash compensation for executive officers | In compliance or within grace period as of Dec 15, 2024 |
| Pledging/Hedging | Prohibited for all employees, officers, directors | — |
Option Exercises and RSU Vesting (2024)
| Item | Quantity/Value |
|---|---|
| Options exercised (shares) | 69,550 |
| Value realized on option exercises ($) | $73,557 |
| RSUs vested (shares) | 12,950 |
| Value realized on RSU vesting ($) | $359,945 |
| Trading practices | All option exercises and sales pursuant to Rule 10b5-1 plans |
2024 Equity Grants (awarded Feb 15, 2024)
| Instrument | Grant Size | Exercise/Grant Price | Vesting | Notes |
|---|---|---|---|---|
| Stock Options | 47,500 | $25.69 | 25% at 1-year; 6.25% quarterly thereafter (4-year schedule) | Annual option award cadence . |
| RSUs (standard) | 19,000 | — | 25% annually over 4 years | — |
| RSUs (additional) | 6,000 | — | 50% at 1-year; 50% at 2 years | Small additional RSU for senior management . |
| Option Expiration | — | — | — | Feb 14, 2034 for 2024 options . |
Selected Outstanding Equity Awards (as of Dec 31, 2024)
| Type | Quantity | Exercise Price | Expiration | Vesting Footnote |
|---|---|---|---|---|
| Options | 55,000 | $30.86 | 1/3/2026 | — |
| Options | 17,500 | $18.01 | 1/2/2028 | — |
| Options | 72,500 | $33.02 | 1/21/2029 | — |
| Options | 69,500 | $51.16 | 1/28/2030 | — |
| Options | 55,781 (exercisable) / 3,719 (unexercisable) | $66.49 | 1/5/2031 | (1) |
| Options | 37,125 (exercisable) / 16,875 (unexercisable) | $38.10 | 1/6/2032 | (2) |
| Options | 15,858 (exercisable) / 20,392 (unexercisable) | $39.42 | 1/4/2033 | (3) |
| Options | 47,500 (2024 grant) | $25.69 | 2/14/2034 | (7) |
| RSUs (unvested) | 2,550 | — | — | (8) vests over 4 years |
| RSUs (unvested) | 7,200 | — | — | (9) vests over 4 years |
| RSUs (unvested) | 12,750 | — | — | (10) vests over 4 years |
| RSUs (unvested) | 19,000 | — | — | (14) vests over 4 years |
| RSUs (unvested) | 6,000 | — | — | (14) vests over 4 years |
Note: Vesting footnotes (1)-(3),(7)-(10),(14) correspond to schedules described on page 53: four-year option vesting with 25% at year 1 and 6.25% quarterly thereafter; RSU grants vest in four equal annual installments; select 2024 RSUs vest over two years .
Employment Terms
| Term | Details |
|---|---|
| Employment Agreement | Entered May 22, 2013 (as SVP, Research & CMC); terms materially consistent with other NEOs . |
| Non-Compete | 18 months post-separation (to extent permissible by state law) . |
| Non-Solicit | 18 months post-separation (to extent permissible by state law) . |
| Severance (no CIC) | 12 months base salary continuation; up to 12 months group health coverage (COBRA) upon termination without cause or for good reason . |
| Severance (CIC, double-trigger) | Lump sum equal to 12 months base salary; up to 12 months health coverage or lump sum equivalent; full acceleration of all outstanding equity awards; annual cash incentive paid at target . |
| Definitions | “Cause”, “Good Reason”, and “Change in Control” defined; CIC includes merger, sale of substantially all assets, >50% stock acquisition, or board change from contested election . |
| Clawback | Dodd-Frank Rule 10D-1 compliant compensation recovery for restatements; Sarbanes-Oxley §304 CEO/CFO reimbursements noted . |
| Insider Trading Policy | Prohibits pledging, margin purchases, hedging, short sales, speculative options; SVP+ must pre-clear or use compliant 10b5-1 plans . |
Potential Payments (Hypothetical termination on Dec 31, 2024)
| Scenario | Cash Severance ($) | Health Coverage ($) | Stock Option Acceleration ($) | RSU Acceleration ($) | Total ($) |
|---|---|---|---|---|---|
| Without Cause / Good Reason | $566,000 | $30,475 | $0 | $0 | $596,475 |
| In Connection with Change in Control (Double-Trigger) | $849,000 | $30,475 | $0 | $977,002 | $1,856,477 |
Taxation: Best-net approach—either full payments or cutback to avoid 280G/4999 excise tax, whichever yields higher after-tax benefit to the executive .
Compensation Structure (Multi-Year Summary)
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary ($) | $514,833 | $531,000 | $560,600 |
| Stock Awards ($) | $548,640 | $670,140 | $642,250 |
| Option Awards ($) | $1,291,680 | $758,713 | $640,845 |
| Non-Equity Incentive ($) | $294,900 | $192,100 | $451,400 |
| All Other Compensation ($) | $20,238 | $22,823 | $23,713 |
| Total ($) | $2,670,291 | $2,174,776 | $2,318,808 |
Related Party and Governance
- Familial Relationship: Almstead’s spouse, Jane (Zheng) Yang Almstead, is employed as Senior Manager, Analytical Development; 2024 compensation $242,693.77. Almstead did not participate in her compensation decisions; transactions reviewed under related person policy .
- Compensation Peer Groups: 2023 and 2024 peer groups constructed with FW Cook, focused on commercial-stage biopharma in $1.5–$10.8B (2023) and $1.5–$10.7B (2024) trailing market cap ranges; PTC’s trailing 12-month average market cap aligned near peer medians .
- Say-on-Pay: 98.1% approval at 2024 annual meeting, signaling strong shareholder support for executive pay programs .
Performance Compensation – Detailed Elements
| Metric | Weighting | Target | Actual | Payout | Vesting |
|---|---|---|---|---|---|
| Annual Cash Incentive | Not disclosed | 50% of salary | Corporate rating 145%; Individual modifier 1.10 | $451,400 | Cash (paid based on 2024 performance) |
| Revenue KPI | Not disclosed | $600–$680M | ~$806.8M | Contributed to 145% corporate rating | — |
| GAAP R&D+SG&A KPI | Not disclosed | $740–$835M | ~$835.4M | Within band (slightly above due to strategic positives) | — |
| Non-GAAP R&D+SG&A KPI | Not disclosed | $660–$755M | ~$760.8M | Slightly above band; viewed positively | — |
| BD KPI | Not disclosed | In-licensing; partner identification | Novartis deal ($1.0B upfront); partner(s) identified | Exceeded | — |
Investment Implications
- Alignment strong: Prohibitions on pledging/hedging and formal ownership guidelines (1× three-year average cash compensation) reduce misalignment risk; Almstead remains compliant/in grace period as of Dec 15, 2024 .
- Retention risk moderate: Severance is 1× salary (no CIC multiplier beyond 1× for other NEOs), with double-trigger equity acceleration on CIC; non-compete/non-solicit at 18 months provide company protection but not unusually rich severance .
- Insider pressure low-to-moderate: 2024 exercises realized $73,557; RSU vesting $359,945; many options carry higher strikes (e.g., $51.16, $66.49), with $0 option acceleration value in the CIC table, suggesting limited near-term in-the-money optionality; expect RSU-driven selling cadence over standard vest schedules .
- Pay-for-performance intact: 2024 cash incentive reflects above-target corporate execution (145% corporate rating) and individual modifier (1.1) tied to tangible milestones (Kebilidi approval, footprint optimization, Novartis PTC518 license), supporting incentive integrity .
- Governance watchpoint: Spousal employment disclosed and reviewed; compensation appears market-consistent but should be monitored for changes as a related party item .
- Shareholder sentiment positive: 98.1% say-on-pay approval in 2024 reduces near-term compensation backlash risk .