The Gaithersburg-based Novavax, Inc (NASDAQ:NVAX) last year received a major blow after the RSV vaccine trial targeting the elderly patients it had directed much of it resources and efforts to failed to deliver the much awaited for results.
Novavax latest proxy statement revealed a little more in regards to the company’s reaction.Last year, the provider had moved ahead to eliminate the cash bonuses for all its employees. As a matter of fact, no one was spared since even the senior executives were victims to the move as was revealed by the Securities and Exchange Commission filing.
Novavax also went ahead to state that all the senior executives were not going to receive their annual salary increases this particular year. The other thing was about their 2017 stock option award plans being altered.
The Proxy reveals that indeed Stanley Erck, who happens to be the CEO in the year 2016 saw his compensation lowered by about 20 percent and that started in 2015.The proxy statement has brought it out quite clearly that indeed the provider failed at achieving its goals in relation to the development of the RSV vaccine for the elderly.
However, a number of the company’s top officials have moved ahead to defend the company saying that it has as a matter of fact made tremendous steps in other areas. For instance, the provider did make a tangible progress on its phase 3 clinical trials for its trial RSV vaccine that was targeting infants and that was of course through maternal immunization.
It partially met objectives on its flu vaccine program as well as in its development of vaccines to help face out the different emerging diseases. Its Zika virus vaccine candidate was a showcasing of a major effort by the provider. The year came to a close with the company having 18 months of cash on hand.
The recent failure is not something out of the blues. Most of the top providers from time to time experience similar cases but that is never the end of the road for them. The company will continue to dream bigger as well as make more trails.