IMS Health CEO Awarded $23.5 Million in Shares, Topping Peers

  • Executive gets outsized stock grant for second year running
  • Bousbib earns more than total pay for Pfizer, Lilly chiefs

IMS Health Holdings Inc., which tracks medical prescriptions and sells the data, paid its chief executive officer a $23.5 million stock award, more than the entire pay packages for the heads of much larger drug companies such as Pfizer Inc. and Eli Lilly & Co.

The restricted stock grant for IMS chief Ari Bousbib was disclosed Tuesday in a financial filing. His entire compensation, including salary, will be released when IMS files its proxy statement later this year. By comparison, Ian Read of Pfizer, head of the largest U.S. drugmaker, was awarded total compensation of $22.8 million in 2014. John Lechleiter, CEO of Eli Lilly, which has a market value of $93 billion, received $22.3 million.

IMS Health, by contrast, carries a market capitalization of $8.1 billion. The Danbury, Connecticut-based company posted a $189 million loss in 2014 and is projected to earn $442.4 million in 2015, according to analyst estimates compiled by Bloomberg. Spokesman Tor Constantino said the grant “was awarded by the company’s board of directors to serve as a long-term retention vehicle.”

Bousbib was awarded $27.7 million in 2014, making him the 115th highest-compensated executive on the Bloomberg Pay Index. Pfizer’s Read and Eli Lilly’s Lechleiter ranked 159th and 165th.

Half of Bousbib’s shares will vest at the end of 2017, and the remainder will vest at the end of 2019, according to the filing.

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