Form 4: Teva Pharmaceutical Executive Acquires Restricted Share Units

Mark Sabag, EVP of International Markets at Teva Pharmaceutical Industries, acquired 183,169 restricted share units on January 28, 2025, following the satisfaction of performance criteria.

Summary

• Mark Sabag, an Executive Vice President at Teva Pharmaceutical Industries, acquired 183,169 restricted share units on January 28, 2025.
• These restricted share units were received upon meeting the performance criteria of performance share units.
• The restricted share units are subject to time-based vesting and will vest on March 4, 2025.
• Each restricted share unit represents the right to receive one ordinary share or the cash value of one ordinary share at settlement, as determined by the Human Resources and Compensation Committee.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, indicating alignment of interests and potentially positive performance. The sentiment is neutral to slightly positive.

Positives

• The acquisition of restricted share units suggests that performance criteria were met, which could indicate positive performance by the executive and potentially the company.
• The vesting of these units aligns the executive's interests with the long-term success of the company.

Future Outlook

The restricted share units will vest on March 4, 2025, contingent on continued employment and potentially other factors.

Industry Context

Executive compensation through equity grants is a common practice in the pharmaceutical industry to incentivize performance and align management's interests with shareholders.

Comparison to Industry Standards

• Equity compensation packages for executives in the pharmaceutical industry typically include a mix of stock options, restricted stock units, and performance-based awards.
• The specific terms and conditions of these packages vary depending on the company's size, performance, and compensation philosophy.
• Companies like Pfizer, Johnson & Johnson, and Novartis also utilize similar equity-based compensation strategies for their executives.

Stakeholder Impact

• The granting of restricted share units aligns the executive's interests with those of shareholders, potentially leading to increased focus on long-term value creation.
• Employees may view the granting of these units as a positive sign of the company's commitment to rewarding performance.

Next Steps

• The restricted share units will vest on March 4, 2025, assuming continued employment and satisfaction of any remaining vesting conditions.

Key Dates