Business Context and Reporting Period
This Form 8-K is a current report filed by Aadi Bioscience, Inc. (not Whitehawk Therapeutics, Inc.) on August 22, 2024, covering events occurring on August 16 and August 20, 2024. The filing addresses significant changes in executive leadership and board composition.
Key Financial Metrics
The filing text does not provide revenue, profit, cash flow, margin, debt, or liquidity figures. This report focuses exclusively on personnel changes and associated compensation arrangements.
Material Changes
- Departure of Chief Medical Officer: Loretta Itri, M.D., voluntarily resigned as Chief Medical Officer, effective October 1, 2024.
- Departure of Executive Chairman: Neil Desai, Ph.D., was notified that his employment as Executive Chairman will cease on October 1, 2024. He will remain a member of the Board of Directors.
Compensation, Guidance, and Risks
Severance and Consulting Arrangements
- Dr. Itri (CMO):
- Receives 12 months of severance pay equal to 100% of base salary plus 100% of the 2024 target bonus (unprorated), paid monthly.
- Receives COBRA premium reimbursement for 18 months or a lump-sum equivalent.
- Entered a consulting agreement for 10 hours/month at a retainer of $8,000/month for an initial three-month term.
- Continues to vest in outstanding equity awards during the consulting period.
- Dr. Desai (Executive Chairman):
- Entitled to severance benefits per his amended and restated executive employment agreement.
- Continues to vest in outstanding equity awards while serving on the Board.
Outlook and Risks
The filing does not contain forward-looking guidance, management commentary on financial performance, or specific risk factors beyond the operational impact of these leadership transitions.
Investor Verification Checklist
- Verify the exact terms of Dr. Desai's severance package, as specific dollar amounts were not disclosed in this filing.
- Confirm the timeline for appointing a new Chief Medical Officer and Executive Chairman.
- Review the impact of the $8,000/month consulting retainer and 12-month severance on the company's near-term cash burn rate.
- Check subsequent filings for updates on the transition of clinical development responsibilities previously held by Dr. Itri.