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Hau L. Lee

Lead Independent Director at Silvaco Group
Board

About Hau L. Lee

Hau L. Lee, Ph.D., age 72, is Lead Independent Director at Silvaco Group, Inc. (SVCO), serving on the Board since 2022 and currently a member of the Compensation and Nominating & Corporate Governance (NCG) Committees . He is a retired Stanford Graduate School of Business professor (faculty since 1983; OIT professor 2002–2023) with deep expertise in operations and supply chains; his degrees include a B.Soc.Sc. (Economics & Statistics) from the University of Hong Kong, an M.Sc. (Operational Research) from the London School of Economics, and an M.S. and Ph.D. (Operations Research) from Wharton . As Lead Independent Director, he presides when the Chair is absent and acts as liaison between the Chair/CEO and independent directors .

Past Roles

OrganizationRoleTenureCommittees/Impact
Stanford Graduate School of BusinessProfessor (Operations, Information & Technology); prior faculty since 19831983–2023Academic leadership in operations and supply chains
DemandTec, Inc.Co‑founderFounded 1999Retail pricing technology company co‑founded by Dr. Lee

External Roles

OrganizationRoleTenureCommittees/Chair roles
TD SYNNEX Corporation (NYSE: SNX)DirectorSince Feb 2012Board member
Lion Rock Group Limited (HKG: 1127)Director; Chairman since June 2023Since Apr 2013Audit and Compensation Committees; Chairman (from June 2023)
Frontier Services Group (HKG: 0500)Director (former)Mar 2014–Jul 2020Compensation Committee
Global Brands Group (SEHK: 787)Director (former)Jun 2014–Sep 2020Compensation Committee
LF LogisticsDirector (former)Feb 2019–Sep 2022Compensation Committee

Board Governance

  • Roles and independence: Lead Independent Director; independent under Nasdaq standards; serves on the Compensation and NCG Committees .
  • Executive sessions: Non‑management and independent directors meet in executive session; the Chair presides at executive sessions of the Board, and the Lead Independent Director presides when the Chair is not present and serves as liaison to management .
  • Attendance: In 2024 the Board held 16 meetings; all directors attended at least 75% of applicable Board and committee meetings .
  • Committee structure and independence:
    • Audit Committee (10 meetings; all independent; financial expert designated) .
    • Compensation Committee (9 meetings; members, including Dr. Lee, satisfy additional independence requirements; used independent consultant Compensia with no conflicts) .
    • NCG Committee (7 meetings; members, including Dr. Lee, independent) .
  • Governance stance: Company is a “controlled company” (Principal Stockholders ~69.8% voting power) and may use Nasdaq exemptions for Compensation and NCG Committees; Audit remains fully independent . Lead Independent Director role is formalized in the Corporate Governance Guidelines .

Committee Memberships (2024)

CommitteeMemberChairMeetings in 2024
CompensationYes (member) No9
Nominating & Corporate GovernanceYes (member) No7

Fixed Compensation

Program structure and Dr. Lee’s 2024 actuals:

ComponentSVCO Program Terms2024 Amount (Dr. Lee)
Board annual cash retainer$40,000Included in total cash
Lead Independent Director retainer+$30,000Included in total cash
Committee member retainer (each)$5,000 (Audit/Comp/NCG)CC + NCG memberships
Business Enhancements & Strategy Group+$5,000 (group dissolved prior to IPO)Dr. Lee received this additional retainer in 2024
Total fees earned or paid in cash (2024)$83,750

Notes: Non‑employee directors may elect committee retainers in cash or stock; retainers paid quarterly; program terms ratified effective Sept 15, 2022 .

Performance Compensation

Directors receive time‑based RSUs; no performance metrics are used.

Equity AwardGrant/ValueVesting / Performance Conditions
Annual RSU grantTarget grant value ≈ $150,000; 2024 grant to Lee had $149,773 grant‑date fair value RSUs vest on the earlier of: 12 months from grant, next annual meeting, or change in control; no performance metrics
2024 grant details7,858 RSUs granted July 11, 2024 Time‑based vesting per above

Other Directorships & Interlocks

CompanyOverlap With SVCO Value ChainPotential Interlock Risk
TD SYNNEX (SNX)IT distribution and solutions aggregation; no SVCO linkage disclosedNo related‑party or transactional ties disclosed in proxy
Lion Rock Group (1127 HK)Printing/packaging; no SVCO linkage disclosedNo related‑party or transactional ties disclosed in proxy

No related‑party transactions involving Dr. Lee were disclosed; related‑party items in 2024–2025 involved entities affiliated with the Board Chair (e.g., leases, former credit line) and a prior guarantee, all reviewed/subject to Audit Committee oversight policy .

Expertise & Qualifications

  • Industry/functional competencies (Company skills matrix): Semiconductor industry, software/technology, financial expertise, corporate governance, IT/cybersecurity, compensation/human capital, M&A .
  • Academic/technical credentials: B.Soc.Sc. (HKU), M.Sc. (LSE), M.S./Ph.D. (Wharton); decades of scholarship in operations and supply chains .

Equity Ownership

MetricAmount
Beneficial ownership (shares)21,296 shares (includes 7,858 RSUs vesting within 60 days of March 25, 2025)
% of outstanding shares<1.0% (asterisk in proxy denotes less than 1%)
Unvested director RSUs outstanding (12/31/2024)7,858 RSUs
Pledged sharesNone disclosed for Dr. Lee (Chair holds 1,000,000 pledged; Board‑level risk)
Hedging/pledging policyCompany prohibits derivatives/hedging, margining, and pledging without pre‑clearance

Governance Assessment

  • Positives

    • Lead Independent Director with clear responsibilities; independent status affirmed; active roles on Compensation and NCG Committees .
    • Strong attendance culture (≥75% for all directors); robust committee cadence (Audit 10, Compensation 9, NCG 7 meetings in 2024) .
    • Independent compensation consultant (Compensia) with no conflicts; formal clawback policy; anti‑hedging/anti‑pledging policy .
    • Director pay program balanced: modest cash (incl. lead independent retainer) with time‑based equity; 2024 cash $83,750 and equity grant fair value $149,773 for Dr. Lee .
  • Watch items / Red flags

    • Controlled company (Principal Stockholders ~69.8% voting power) with rights under Stockholders Agreement; Board may use Nasdaq exemptions for Compensation and NCG independence (though current members meet independence tests) .
    • Significant share pledging by the Board Chair (1,000,000 shares) introduces potential overhang/forced‑sale risk (not related to Dr. Lee directly) .
    • Related‑party transactions with entities controlled by the Chair (office leases; prior credit line), emphasizing need for vigilant Audit Committee oversight (no ties to Dr. Lee disclosed) .
    • Recent CFO resignation effective April 11, 2025; continue monitoring for governance/controls continuity (not attributable to Dr. Lee) .
  • Overall view: Dr. Lee brings seasoned governance and compensation committee experience, independent leadership, and sector‑relevant expertise. The primary governance risks stem from SVCO’s controlled status and Chair‑affiliated related‑party/pledging practices rather than from Dr. Lee’s profile. His equity stake is modest but aligned via annual RSUs and company anti‑hedging/pledging policies .