Moderna CEO Stephane Bancel has continuously sold company stock, since the start of the c-19 pandemic,
during which the firm’s share price soared more than 600% while it developed and rolled out its vaccine.
The biotech firm developed the second-most popular vaccine used to combat C-19 in the United States.
The shot jointly developed by Pfizer and BioNTech is the most widely used vaccine in the US.
Since January 2020, Bancel cashed out stock options through the ‘10b5-1 plan’ which allows executives to sell a predetermined number of shares at regular intervals to avoid the possibility of insider trading, according to CNBC.
*Bloomberg chart on Moderna stock surge 20/21
But critics say that 10b5-1 doesn’t allow for transparency since executives aren’t required to disclose these transactions to the Securities and Exchange Commission.
- Mr. Bancel sold more than 2 million shares of the company since January 2020.
- Last year, Moderna turned its first-ever profit in the 12 years of its existence.
It generated $17.7 billion in sales of its C-19 vaccine, which it rapidly developed in conjunction with the National Institutes of Health.
The Moderna vaccine, the only product that the company has made which has proven a commercial success, has transformed Bancel into a billionaire. His net worth is now estimated at 5 billions.
Last year, Democratic Senators Elizabeth Warren, Chris Van Hollen, and Sherrod Brown called on the SEC to reform the 10b5-1 rule.
Moderna announced during its third-quarter earnings results that commercial booster market sales could reach $2 billion in the United States in 2022