Saundra Pelletier is the President and CEO of Evofem Biosciences.
Brio Five, LLC.
When Saundra Pelletier was diagnosed with late-stage breast cancer, her oncologist told her the only logical reason for her illness was that she had been on hormonal birth control for almost 20 years. She had no family history of cancer and was so shocked to find out she had it, that she asked the doctor if he was reading the wrong chart. Luckily, Pelletier’s company Evofem Biosciences was working on a product that tackles that very problem and more—the Phexxi, the first and only FDA-approved hormone-free contraceptive gel. Before she worked on developing the prescription product, Pelletier was focused on one thing: providing sustainable contraception to women in developing countries through a nonprofit she founded. A passion for making a difference for women across the world allowed her entrepreneurial side to shine, and she soon took over at Evofem, becoming CEO. She managed to lead a large team, successfully see through the Phexxi’s development, overcome hurdles and raise $406 million in the first six years.
This mission and her belief that women should be empowered through having contraceptives at their fingertips drove Pelletier to structure the company and design a product that meets these needs. She also wanted to steer away from estrogen-filled contraceptives that can sometimes work against women with health risks. Evofem, based in San Diego, California launched the Phexxi in September, and reported 2020 fourth quarter net product sales of $170,000, with $880,000 in gross revenue, according to Evofem’s CFO Jay File. Despite facing hurdles, she managed to hit her goals, take the company public and continue raising money in the midst of the Covid-19 pandemic.
Prior to launching the Phexxi, Pelletier struggled with the disparity between male-use and female-use contraception. She wanted a female equivalent to a condom—something that women can carry with them and use at any time. “But women have never had that same empowerment, to just have a little pre-filled applicator in their purse or in their pocket, and they can just take it out and put it in and they have the power,” Pelletier said.
“I really care about empowering women so that they have control and they don’t have to suffer from side effects if they don’t want to use the hormone.”
Thus, she got to work, making sure to seamlessly obtain FDA approval and win approval from users. The vaginal gel works to ward off semen and maintain acidity in the vaginal environment. In a 16-month study of over 1,300 women, Phase 3 of the clinical trial found that the Phexxi was safe and was 86.3% effective in preventing pregnancy.
“I spent a lot of time doing quantitative and qualitative market research throughout my career on the mindset of women, from puberty through menopause. And really about, what do women really want? What are the levers when they don’t want to get pregnant, when they do want to get pregnant, when they want to space their pregnancies?”
In 2013 Pelletier was hired to be the CEO of a previous version of Evofem which later became Evomed, also focused on developing contraceptives. Meanwhile she worked on her nonprofit, and when investors decided that the for-profit company wasn’t achieving its goals and they would dismantle it, Pelletier took charge and spun her own version—today’s Evofem.
Pelletier and the Evofem team had contemplated an initial public offering, but ended up going with a reverse merger after finding a company in San Diego. “They had cash on the books, they had shut down their staff, stopped all their studies, they had very motivated shareholders,” she said. “It was the cleanest, most perfect shell.” Then Invesco Ltd., the company’s long-time majority shareholder invested $20 million at the time of the merger and Evofem turned public in January 2018. Pelletier still serves as CEO and they now have 152 employees. She cites a few critical actions and qualities that helped push Evofem toward success:
Proactively raising money
She worked closely with investors, and continues to do so to ensure the company maximizes its growing potential. With some failures in the original plans, Pelletier flew to the United Kingdom to meet with a key investor and present an entirely new plan. “I knew people would follow the money,” she said. She focused on the mission while underscoring the importance of women’s health. “I wanted people to understand that it wasn’t about me just wanting to be this feminist who wanted to empower women; that there’s really a value proposition in investing in women.” Evofem reported that as a public company, between 2018 and 2020, they raised $306.7 million.
Forming the right team
Pelletier cites forming a solid, reliable team as one of the most difficult parts of the journey. She interviewed 16 candidates before hiring a CFO, and then emphasized to him the importance of trust in the workplace. “Even if they came from big pharma, they still had to have the mindset of a startup,” she said. “I want people who are nimble and have a thick backbone.”
Personalizing her leadership
“You have to have focus, you have to have competence and you have to have passion,” she said.
As a company leader, Pelletier notices a difference between herself and other company heads. “I often meet leaders who lead from afar, meaning they think it’s okay to set the strategy up top and then they delegate,” she said. But Pelletier is very much involved. After her double mastectomy in 2018 and during the six months of chemotherapy, she made sure to not miss any board meetings. She would schedule her treatment around meetings, often having chemotherapy on a Thursday and returning to work on Tuesday. Pelletier walked into a JP Morgan investor conference completely bald, paying little attention to the pity stares. She chose not to hide her condition, but instead to develop and lead, and empower others around her.
