Sarissa Capital Disappointed That Amarin Webcast Continues Board’s Defense of Poor Results and Lack of Accountability
Sarissa Capital Management expressed concerns regarding Amarin Corporation's recent shareholder engagement webcast, deeming it tone-deaf and lacking accountability for poor performance. CEO Karim Mikhail asserted that the company met its objectives despite shareholders losing over
- None.
- Shareholders lost over
$840M in value in 2022 due to management missteps. - CEO Mikhail's compensation of
$5.8M occurred while the stock declined by more than 31% in 2021. - Chairman Wold-Olsen received
$1M in compensation during a year when the stock dropped over 64%. - Company failed to secure German reimbursement and lacks accountability for external factors affecting performance.
- Amarin's webcasting was the first for retail shareholders in CEO Mikhail's two-year tenure, questioning their engagement focus.
Sarissa Believes Amarin Board Missed an Opportunity for its First True Engagement with Frustrated Shareholder Base
The board made many head scratching statements that fortify our belief that necessary change will not occur under current leadership.
-
CEO
Karim Mikhail stated today: “…we have delivered this year on every objective we had in a consistent way.” Meanwhile, shareholders have suffered greatly. In 2022 alone, shareholders lost > in value due to repeated missteps by management.*$840M -
CEO
Karim Mikhail also stated that shareholder engagement has been a top priority for the company since day 1 of his tenure. This is the first time in his two-year tenure that the company hosted a webcast aimed at its retail shareholder base. -
Board Member
Erin Enright indicated they were “quite quick” on cost cutting, including in the face of an expected 3rd generic inJanuary 2022 . Even after it took Amarin 6 months to announce a cost reduction plan. This is NOT “quite quick.” Watching weekly prescription volume does not equal preparedness for a plan to act. -
Board Member
Erin Enright also indicated Amarin’s high compensation levels in the face of the company’s poor results are warranted. Unfortunately for Amarin shareholders sometimes you DON’T get what you pay for:-
CEO
Karim Mikhail was paid > in total compensation in 2021 when the stock declined >$5.8M 31% and shareholders lost > in value. †$560M -
Chairman Per Wold-Olsen was granted approximately
in compensation in 2022 when the stock lost >$1M 64% of its value that year. †
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CEO
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Board Member
Adam Berger applauded the company’s boots on the ground efforts inChina . Yet, years after Amarin submitted Vascepa, it is still not approved inChina despite years of missing its guidance. -
Amarin was unable to secure German reimbursement and continues to blame external factors without taking any accountability. Novartis, a global biopharmaceutical company with vast experience commercialization in
Europe had a different view ofGermany , recently stating “…Germany has had some headwinds. But overall, the German environment, we’d say, is relatively positive and workable… I thinkGermany remains [a] most attractive market.” ‡ -
Board Member
Erin Enright claimed that spending > for this campaign was necessary given the “diffuse shareholder base.” Conversely, Sarissa has spent approximately$7M and has effectively communicated with shareholders, who have shared their frustration with us on the lack of progress and accountability at Amarin. Either Amarin does not know how to spend money efficiently or does not care about shareholders’ money.$1M
Amarin is in dire need of change. It is clear to us that current Amarin leadership will not fix the problems at Amarin because they do not believe that any problems exist. This harsh reality for shareholders was made painfully apparent on today’s webcast where board members eschewed any accountability for the company’s current situation and urged shareholders to stay the course – a course that to date has resulted in tremendous destruction of shareholder value. Sarissa is Amarin’s largest shareholder. We are long term shareholders and have not sold any shares since acquiring our position. We have a stellar track record of success, including in the cardiovascular space. Our nominees have the experience and qualifications to help unlock Amarin’s true potential.
We urge all shareholders to vote the BLUE proxy card “FOR” the Sarissa Nominees and “FOR” the removal of Chairman Per Wold-Olsen on or prior to the deadline on
If you have not received a BLUE proxy card, you can vote the white proxy card but you must vote “FOR” all proposals on the white proxy card to have the same effect as a vote “FOR” all proposals on the BLUE proxy card. If holders want to fully support Sarissa, they must make sure that all “FOR” boxes are marked on your proxy card before you submit it. If you have any questions on how to vote, we recommend that you contact Sarissa’s proxy solicitor,
#FreeAmarin
Visit our website at www.freeamarin.com for helpful information about Sarissa and the need for change at Amarin.
The General Meeting of Amarin shareholders is scheduled for
Shareholders should have received the BLUE proxy card. If you have not received your BLUE proxy card or have any questions on how to vote, please contact:
Shareholders call toll-free: (800) 331-7024
Banks and Brokers call: (212) 269-5550
By Email: AMRN@dfking.com
* 2022 stock performance calculated from end of day
† 2021 stock performance calculated from end of day
‡ Novartis Full Year 2022 Earnings
Additional Information
The definitive proxy statement and other relevant documents are available at no charge on the SEC’s website at www.sec.gov and at www.freeamarin.com. The definitive proxy statement and other relevant documents are also available at no charge by directing a request to Sarissa Capital’s proxy solicitor,
View source version on businesswire.com: https://www.businesswire.com/news/home/20230214005865/en/
Jean Puong
info@sarissacap.com
Source:
FAQ
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