- After 22 years in the position
- Praise and thanks for McEnany
- Search for a successor
- McEnany will remain as non-Executive Chairman at Catalyst
- McEnany spoke at length and said 169 words
(exechange) — Coral Gables, Florida, July 28, 2023 — Pat McEnany, chief executive of Catalyst, leaves his position. As announced by Catalyst Pharmaceuticals Inc. in a news release published on Tuesday, July 25, 2023, and in a regulatory filing published on Friday, July 28, 2023, Patrick J. (Pat) McEnany leaves his post as chief executive officer at the biopharmaceutical company, after 22 years in the role, effective by the end of 2023.
It is the end of an era.
Catalyst will undertake a search for a successor.
“Leadership continuity”
Catalyst did not give an explicit reason for Pat McEnany’s planned departure from the CEO post. Catalyst stated: “This transition is designed to provide leadership continuity and reflects the Company’s commitment to the continued execution of its business operations and strategic growth initiatives.”
McEnany will remain as non-Executive Chairman at Catalyst
Catalyst stated: “Mr. McEnany remains the Company’s largest individual stockholder and will continue to serve as CEO until his replacement is in place. Thereafter following his retirement as CEO, Mr. McEnany will continue to serve as non-Executive Chairman of Catalyst’s Board of Directors.”
“Retire”
Catalyst said: “On July 24, 2023, Patrick J. McEnany, the Company’s Chief Executive Officer (“CEO”), informed the Company’s Board of Directors that he intends to retire as the Company’s CEO by the end of 2023.”
“Not the result of any disagreements”
Catalyst stated, regarding the change: “In his letter to the Board confirming his decision to retire as the Company’s CEO, Mr. McEnany reported that his decision to retire as the Company’s CEO was not the result of any disagreements between Mr. McEnany, on the one hand, and the Company’s management or Board of Directors, on the other hand, as to any matter relating to the Company’s operations, finances, policies, or practices.”
Share price increase since July 2022
The announcement follows an increase in Catalyst Pharmaceuticals Inc.’s share price of 92% since July 2022.
In the position of CEO since 2002
Pat McEnany became CEO of the Company in 2002.
Patrick J. McEnany is a co-founder of the Company and currently serves as the Company’s Chairman, President and Chief Executive Officer (“CEO”).
McEnany has been the Company’s CEO and a director since the Company’s formation in January 2002.
He became Chairman and President in March 2006.
From 1999 to 2002, McEnany was a consultant to the pharmaceutical industry.
From 1991 to 1997, McEnany was Chairman and CEO of Royce Laboratories, Inc., a generic pharmaceutical manufacturer.
From 1997 to 1998, after the merger of Royce into Watson Pharmaceuticals, Inc., McEnany served as president of the wholly-owned Royce Laboratories subsidiary and vice president of corporate development for Watson Pharmaceuticals, Inc.
From 1993 to 1997, he also served as vice chairman and a director of the National Association of Pharmaceutical Manufacturers.
He currently serves on an emeritus board of directors of the Jackson Health Foundation and on the board of directors of the Humane Society of Greater Miami, and over the last 30 years has served as a director for numerous public companies.
169 words by Pat McEnany
In the news release announcing his departure as CEO of Catalyst Pharmaceuticals Inc., Pat McEnany received praise and thanks.
In announcing his departure, Pat McEnany spoke at length and said 169 words.
“I am looking forward to this next step”
Pat McEnany stated: “It has been an exceptional privilege to be the Co-Founder and CEO of Catalyst, which has provided me with the unique opportunity to oversee and actively contribute to the remarkable growth and substantial accomplishments that have driven our company’s success over the past two decades. I am incredibly proud of all we have achieved, and I look forward to continuing to serve as Chairman of the Board and helping guide our collective efforts for further growth. While I am looking forward to this next step, I want to thank our Board of Directors and my colleagues for their sustained partnership as we continue to deliver on the exceptional performance that is reshaping the future of the Company for further success, as well as our dedicated team of employees whose contributions and patient focus commitment have helped us realize our business objectives. I also want to take this opportunity to express gratitude to my incredible family for their unwavering support in fulfilling the mission of helping patients and our communities.”
39% of CEOs are forced out or fired
When CEO departures are announced, exechange determines the Push-out Score on a scale of 0 to 10 to assess how likely it is that the chief executive was pushed out or felt pressure to leave the position, with 0 being most likely a voluntary move and 10 being most likely a forced exit. Anything over a 5 indicates that there are valid reasons to believe an executive may have been pushed out.
Of the 314 CEO departures in the Russell 3000 Index evaluated over the past 12 months (July 25, 2022, to July 24, 2023), the average Push-out Score was 6.1, according to exechange data. References to conduct issues, disagreements and irregularities lead to the highest Push-out Scores. When performance issues, time with family or pursuit of other opportunities were cited as departure reasons, the average Push-out Scores were also significantly elevated.
Around 39% of the CEO departure events from the past 12 months received Push-out Scores of 8 or higher.
In other words, in the past 12 months, three in eight departing CEOs were forced out or fired.
Push-out Score for Pat McEnany’s move determined
The Push-out Score regarding Pat McEnany’s move is explained point by point in the exechange report.
Read the full story in the exechange report 31.2023 ($).