Martin Shkreli (/krli/; born March 17, 1983) is an American convicted felon and former hedge fund manager. Shkreli is the co-founder and former CEO of the pharmaceutical companies Retrophin and Turing Pharmaceuticals (now Vyera Pharmaceuticals), as well as the former CEO of the start-up software business Gödel Systems, which he created in August 2016.
When Turing gained the production licence for the antiparasitic medicine Daraprim and hiked its price by 5,455 percent (from US$13.50 to $750 per pill) in September 2015, Shkreli was publicly chastised.
Shkreli was charged with two charges of securities fraud and one count of conspiring to commit securities fraud in federal court in 2017, unconnected to the Daraprim case. He was given a seven-year sentence in federal prison and a fine of up to $7.4 million. In the civil case, he was fined an additional $64.6 million, which would be distributed to victims around the country.
Early Years of Martin Shkreli
Martin Shkreli was born in Brooklyn, New York, on March 17, 1983. He and his siblings were raised in a working-class Brooklyn household and area. Both of his parents were janitors when they moved to the United States. Shkreli went to Hunter College High School in Manhattan.
He dropped out before his final year and finished his diploma requirements at City-As-School High School, an alternative learning high school. Shkreli was able to secure an internship at Jim Cramer’s Wall Street hedge firm (of CNBC’s Mad Money). He was only 17 years old. Shkreli earned his bachelor’s degree in business administration from Baruch College in 2004.
Career in Finance
Shkreli interned at Cramer, Berkowitz, and Company, a hedge fund. While he was there, he advised shorting the stock of Regeneron, a biotech company that was investigating a weight-loss medicine. When the price of Regeneron fell as predicted by Shkreli, Cramer benefitted.
The SEC was also interested in how Shkreli was able to forecast this, but there was no indication that he had any insider knowledge or had participated in any crime. He left Cramer Berkowitz after four years as an intern and associate to work as a financial analyst for two prominent investment banks.
Shkreli started his own hedge fund, Elea Capital Management, in 2006. Lehman Brothers sued Elea in New York State court the next year. According to the lawsuit, Shkreli made the wrong bet and couldn’t repay Lehman Brothers when the stock he shorted surged in value. In October 2007, the bank obtained a $2.3 million judgement against Shkreli. The bank, however, fell bankrupt before it could collect on the verdict.
This close call didn’t deter Shkreli in the least. MSMB Capital Management was founded by him in 2009. With MSMB, his idea was to short biotech businesses and then go into stock trading chat forums to discuss the problems in those biotech companies. Shkreli made yet another poor wager. He sold 32 million shares of a biotech business short the day after its stock price fell. This transaction was completed by Shkreli through Merrill Lynch. Because Shkreli was unable to cover the position, Merrill Lynch lost $7 million on the trade. MSMB Capital was essentially bankrupted.
Martin Shkreli’s Net Worth
Martin Shkreli has a net worth of $0 and is an Albanian American entrepreneur, hedge fund manager, and convicted felon. Martin Shkreli had a net worth of $70 million at the height of his career. According to Martin’s own legal team, the majority of his financial wealth came from his stake in Turing Pharmaceuticals, the firm he founded.
Because of his conduct while heading Turing, Shkreli gained notoriety, public ridicule, and the moniker “Pharma Bro” in 2015. Darapri, an HIV therapy medication, was bought by the corporation that year. Daraprim had been available and affordable for decades before to Turing’s purchase. Before Turing, the cost of a single Daraprim medication was $13.50. Turing raised the price per tablet to $750 shortly after purchasing the rights.
Why Is He Known as “pharma Bro”?
Shkreli worked for Elea Capital, MSMB Capital Management, and MSMB Healthcare as a hedge fund manager.
He’s also the co-founder and former CEO of the biotech company Retrophin, as well as the creator and former CEO of Turing Pharmaceuticals. Shkreli, who was dubbed “Pharma Bro” by the media, was chastised when Turing got the production licence for the Aids medicine Daraprim.
Details on Martin Shkreli’s Personal Life
Martin Shkreli was dating Christie Smythe, a former Bloomberg News reporter. Christie, the lady he was rumoured to be dating, was the one who broke the news to the public about his detention in 2015. Martin claimed they were life partners, so Smythe decided to be with him. They broke up in October 2021, according to Smythe, and are now just friends.
How Did Martin Shkreli Become so Wealthy?
Martin Shkreli, the former CEO of Turing Pharmaceuticals and a well-known “pharma bro,” raised the price of a drug that saves lives by 5,000%. In an instant, the price of the item went from $13 to $27. The cost of a medication can range from $50 to $750.