INSYS THERAPEUTICS, INC. (COMPANY)
Exhibit 10.7
March 1st, 2007
Mike Babich
2333 N Leavitt 2N
Chicago, IL 60647
| RE: | Employment Offer - Position of Chief Operating Officer |
Dear Mike:
I am pleased to offer you the position of Chief Operating Officer at Insys Therapeutics. The salary offered for this position is $175,000.00 per year. As a full-time employee you will be eligible for health benefits and a 401K retirement plan. The attached “employment statement” summarizes your employment benefits.
On the first day of your employment you will be requested to sign a Confidentiality Agreement If you are in agreement, please signify your acceptance of this offer of employment by signing and returning this letter and the “offer statement” no later than March 15th, 2006.
Mike, you have been offered a key position at Insys and we look forward to your active contribution to the success of our company. It is my hope that you will find your employment at Insys a truly rewarding experience.
I look forward to welcoming you to Insys. Should you have any questions or concerns please do not hesitate to contact me at (847) ###-###-####.
| Sincerely, |
| /s/ John Kapoor |
| Dr. John Kapoor |
| Chairman |
I hereby accept Insys Therapeutics Inc.’s offer as described in this letter.
| /s/ Mike Babich | 3/1/07 | |||||
| Signature of Candidate | Date |
INSYS THERAPEUTICS, INC. (“COMPANY”)
EMPLOYMENT OFFER STATEMENT (“OFFER STATEMENT”)
TO: Mike Babich
DATE: March 1st, 2007
POSITION: Chief Operating Officer
START DATE: March 1st, 2007
COMPENSATION:
| SALARY | $175,000.00 per annum | |
| EQUITY | You shall receive 225,000 options. On an ongoing basis, you will participate in the annual employee stock option award program, to the extent such awards are granted by the Board of Directors. | |
| 34% of the options will be vested immediately upon your joining the company; the remaining 66% will vest per the following schedule: | ||
| 33% - March 1, 2008 | ||
| 33% - March 1, 2009 | ||
| In order for any unvested options to vest, you must be an employee of the Company in good standing or reach terms that would complete the vesting, | ||
| The options shall be subject to all the terms and conditions of the Employee Stock Option Program adopted by the Company. Any Shares issued pursuant to these paragraphs shall be subject to a prohibition transferability until such time as an initial public offering of the Company’s stock is implemented by the Company. | ||
| You will be given a guaranteed bonus of 30% of your salary with a potential to earn an additional 20% bonus based on performance to be determined by the board of directors. | ||
| PAID TIME OFF: | After completion of six months of employment, you are entitled to one week vacation. Your annual vacation time will be three weeks. You will have eight paid holidays and five personal sick days. Please note that vacation time unused for the calendar year cannot be carried over. | |
| HEALTH INSURANCE: | Effective on the first day of the first full month following the Start Date but subject to any pre-existing condition clauses that may be applicable to you or your family, Company Sponsored group medical and dental health coverage will be provided to you consistently with the Company health insurance benefits plan in place. | |
| BENEFITS: | Effective on the first day of the first full month following the Start Date, long term disability and life insurance at one and one-half (1 1/2) times annual salary to a maximum of $100,000.00, consistent with the Company benefits plan, shall be provided to you. These benefits are to be paid in full by the Company. | |
| RETIREMENT: | Subject to all eligibility and waiting period requirements, you shall be entitled to participate in the 401(k) Plan. | |
| TERMINATION: | Either you or the Company may terminate the “At-Will” employment upon thirty (30) days written notice to the other. | |
| EMPLOYMENT STATUS: | “At Will” Employment; Nothing herein shall be construed to alter your status as an “At-Will” employee. | |
| TECHNOLOGY & INTELLECTUAL PROPERTY: | All intellectual property and technology developed as a result of projects pursued by Insys, whether directly or indirectly, while employed at Insys Therapeutics, shall belong to the Company. | |
| Accepted: | /s/ Mike Babich | Approved: | /s/ John Kapoor | |||||
| Its: Chairman | ||||||||
