One week after inserting CEO Clay Siegall on depart, most cancers drug developer Seagen announced Monday that its cofounder and longtime chief has resigned as he faces an allegation of home violence.
Felix Baker, previously Seagen’s lead impartial director, will take Siegall’s place as chair of the board, whereas Seagen Chief Medical Officer Roger Dansey will proceed as interim CEO, as previously disclosed. The corporate is starting a seek for a everlasting successor.
“As we transfer ahead, the Board has nice confidence within the management of Roger Dansey, the senior administration staff and the practically 3,000 staff to proceed Seagen’s spectacular progress trajectory,” Seagen mentioned in a Monday assertion asserting Siegall’s resignation.
His exit comes as Seagen conducts an investigation into an April 23 incident on the govt’s Seattle-area dwelling that led to his arrest on prices of fourth-degree assault. Seagen didn’t acknowledge the occasions or Siegall’s arrest publicly till Might 9, when it introduced the CEO was quickly on depart.
Seagen mentioned that Siegall’s departure was not pushed by the findings of its investigation.
Round 4 a.m. on the morning of April 23, native police in Woodway, Washington obtained a 911 name from Siegall’s spouse, who mentioned Siegall had bodily assaulted her after an evening of dinner and drinks with three different {couples}. Two of the {couples} left earlier the night earlier than, whereas a youthful couple stayed, in line with a police report obtained by BioPharma Dive.
Statements collected by Woodway police mentioned Siegall, who had gone to sleep earlier within the evening, later argued along with his spouse, grabbed her and shoved her to the bottom. Siegall’s spouse had seen bruises on her arms and face when officers arrived, and she or he later famous extra on her legs and hips, the report mentioned. Siegall’s spouse advised police she was afraid for her life.
The husband of the youthful couple additionally known as 911 following the alleged altercation between Siegall and his spouse.
Siegall advised police he didn’t contact his spouse, however gave conflicting tales. Officers described him as drunk, and decided they’d possible trigger to arrest him. Siegall was launched after greater than a day in jail, throughout which he known as his spouse a number of instances and “thanked her for the likelihood that he could get fired and that she could have ruined his profession,” in line with an officer who overheard one of many calls.
It’s not clear when Seagen realized of Siegall’s arrest and didn’t reply particular questions from BioPharma Dive. Siegall led Seagen’s first quarter earnings call on April 28, updating analysts on the corporate’s enterprise and answering questions.
In its Might 9 assertion asserting Siegall’s depart of absence, Seagen additionally mentioned it had employed a regulation agency and shaped a committee to research what it described as an “alleged incident of home violence.” On the time, Seagen mentioned its CEO denied the allegation and advised the corporate he was divorcing his spouse.
“Seagen has excessive requirements for worker conduct and condemns home violence in all its types. We’re treating these allegations with the utmost seriousness,” the corporate’s impartial board mentioned in an announcement emailed to BioPharma Dive on Might 12.
Siegall is likely one of the biotech’s longest tenured and highest paid executives. A former Nationwide Institutes of Well being researcher and Bristol Myers Squibb govt, Siegall cofounded Seagen in 1998 as Seattle Genetics and led it by means of the greater than twenty years since.
The corporate gained approval of its first drugs, the lymphoma drug Adcetris, in 2011 and has adopted with three extra since, making Seagen one of many trade’s most dear firms. It employs about 2,700 workers and is the most important biotech firm within the Pacific Northwest.
Seagen isn’t constantly worthwhile, nonetheless, and faces questions on its progress in addition to aggressive pressures which have weighed on gross sales.
Siegall’s firing subsequently comes at a key second for Seagen, which awaits a number of upcoming medical trial readouts.
The corporate will now be led by Chief Medical Officer Dansey, a former Merck & Co. govt who was concerned in growing its prime immunotherapy Keytruda. Dansey was named interim CEO on Might 9 and can proceed in that function whereas the corporate searches for a brand new, everlasting successor.
Siegall is due practically $19 million in severance compensation, in line with Seagen’s most recent annual report, largely as a result of accelerated inventory funds. He made an analogous quantity in money and inventory final 12 months.
Underneath a May 15 agreement between Seagen and Siegall, any severance funds will likely be deferred till March of subsequent 12 months. Ought to Siegall’s exit be decided to have been for trigger earlier than the top of 2023, Siegall will forfeit his rights to the cash.
Siegall additionally recently resigned as chairman of the board of Umoja Biopharma, a privately held most cancers biotech, on the request of the corporate.
Editor’s notice: This story has been up to date with further data concerning Clay Siegall’s severance funds.
