Percheron Therapeutics announces Dr Michael Baker as incoming CEO, replacing Dr James Garner who steps down after three years. Baker’s appointment aligns executive incentives with shareholder value as the company prepares for a pivotal HMBD-002 clinical trial.
- Dr James Garner to step down as CEO on 31 August 2026
- Dr Michael Baker appointed CEO effective 5 October 2026
- Baker’s remuneration includes reduced cash and performance-linked equity
- Garner to remain on board as Non-Executive Director
- Company on track to start HMBD-002 phase II trial in 2H CY2026
Leadership Change at a Critical Development Stage
Percheron Therapeutics (ASX:PER) is set for a leadership transition with Dr James Garner stepping down as CEO and Managing Director at the end of August 2026. Garner, who took the helm in August 2023, will remain in his role until 31 August to ensure a smooth handover before Dr Michael Baker assumes the top executive position on 5 October.
Garner’s departure comes as Percheron gears up for a significant clinical milestone: the commencement of a phase II trial of its lead oncology candidate, HMBD-002, scheduled for the second half of 2026. The company confirmed that all other board members and management team personnel remain unchanged, maintaining operational continuity during this pivotal period.
New CEO Brings Biotech and Investment Expertise
Dr Baker arrives with a strong pedigree in biotechnology leadership and capital markets. Most recently, he served as CEO and Managing Director of Arovella Therapeutics (ASX:ALA), where he transformed the company into a notable cell therapy player. His tenure included shepherding ALA-101, a lymphoma and leukemia cell therapy, through US FDA IND acceptance, paving the way for phase 1 trials in 2026.
Before Arovella, Baker was an investment manager at BioScience Managers, a venture capital fund focused on biotech companies. His academic credentials include a PhD in Biochemistry from La Trobe University and an MBA from Melbourne Business School, complemented by postdoctoral research in Germany.
Shareholder-Aligned Remuneration Package
The Board has structured Baker’s remuneration to align closely with shareholder interests, featuring a base salary of $375,000 plus superannuation, notably lower than typical peer benchmarks. The bulk of his compensation is equity-based, with a grant of 75 million Restricted Stock Units (RSUs) contingent on share price milestones and tenure, subject to shareholder approval at the upcoming AGM.
The RSUs vest in tranches tied to Percheron’s share price hitting thresholds between $0.005 and $0.015, combined with service periods ranging from immediate vesting to two years. This structure incentivises Baker to drive both operational progress and market performance. Additionally, he is eligible for a target annual bonus of 50% of base salary and long-term option grants equivalent to 1% of issued capital, contingent on performance and shareholder approvals.
Garner to Stay on Board to Support Transition
Dr Garner will transition to a Non-Executive Director role from 1 September 2026, providing continuity and support to Baker as the company advances its clinical programs. Garner expressed optimism about Percheron’s future and his confidence in Baker’s leadership, while the Board praised Garner’s stewardship through a transformative phase.
Percheron’s lead asset, HMBD-002, is a monoclonal antibody targeting the immune checkpoint regulator VISTA. It completed a phase I trial demonstrating safety and tolerability, with plans to initiate a modular phase II trial targeting multiple cancers later this year. The company’s recent capital raising of $2.2 million has bolstered its financial position to support this next stage of development.
Bottom Line?
Baker’s appointment with equity incentives signals a strategic push to deliver clinical and market milestones for HMBD-002, making shareholder approval of his RSUs a key upcoming event.
Questions in the middle?
- Will Baker’s equity-heavy remuneration influence Percheron’s share price trajectory and investor sentiment?
- How effectively will Baker leverage his biotech and investment background to accelerate HMBD-002’s clinical progress?
- What impact will Garner’s continued board presence have on governance and strategic continuity?