Navigation Links
PDL BioPharma Announces Closing of $300,000,000 Securitization Transaction
Date:11/2/2009

INCLINE VILLAGE, Nev., Nov. 2 /PRNewswire-FirstCall/ -- PDL BioPharma, Inc. (PDL) (Nasdaq: PDLI) today announced that it closed on its previously disclosed $300 million securitization transaction intended to monetize certain of its antibody humanization patents and royalties. Morgan Stanley & Co. Incorporated acted as sole initial purchaser for the securitization.

Under the terms of the securitization transaction, PDL sold to QHP Royalty Sub LLC ("QHP"), a newly-formed wholly-owned subsidiary of PDL, certain rights under its non-exclusive license agreements with Genentech, Inc., a wholly-owned subsidiary of Roche Holding, Ltd., including the right to receive 60% of the royalties from sales of Avastin® (Bevacizumab), Herceptin® (Trastuzumab), Lucentis® (Ranibizumab) and Xolair® (Omalizumab) and from sales of future products, if any, for which Genentech may take a license under the related agreements with Genentech.

QHP issued $300 million in aggregate principal amount of its QHP PhaRMA(SM) Senior Secured Notes due 2015 (the "Notes") in a non-registered offering pursuant to Rule 144A. The Notes bear an interest rate of 10.25%. The royalties and other payments, if any, that QHP will be entitled to receive under the agreements with Genentech, together with any funds made available from certain accounts of QHP, will be the sole source of payment of principal of, and interest and premium on, the Notes, which are secured by a continuing security interest granted by QHP in its rights to receive payments under such agreements and all of its other assets and a pledge by PDL of its equity ownership interest in QHP. The Notes may be redeemed at any time prior to maturity, in whole or in part, at the option of QHP at a make-whole redemption price.

PDL intends to use a sizable portion of the net offering proceeds from the securitization transaction to pay a special cash dividend to shareholders. The total and per share amount of the special dividend, together with the record and payment dates, will be decided by the Company's Board of Directors at its upcoming meeting on November 11, 2009 and will be announced the following day. The amount of the special dividend on a per share basis will be announced on the record date. PDL expects to pay the special dividend in 2009.

About PDL BioPharma

PDL pioneered the humanization of monoclonal antibodies and, by doing so, enabled the discovery of a new generation of targeted treatments for cancer and immunologic diseases. PDL is focused on maximizing the value of its antibody humanization patents and related assets. The company receives royalties on sales of a number of humanized antibody products marketed today and also may receive royalty payments on additional humanized antibody products launched before patent expiry in late 2014. For more information, please visit www.pdl.com.

NOTE: PDL BioPharma and the PDL BioPharma logo are considered trademarks of PDL BioPharma, Inc.

Forward-looking Statements

The foregoing statements regarding PDL's intentions with respect to the cash dividend payment described above are forward-looking statements under the Private Securities Litigation Reform Act of 1995, and actual results could vary materially from the statements made. PDL's ability to complete the transactions and cash dividend payment described above successfully is subject to various risks, many of which are outside its control, including prevailing conditions in the capital markets and other risks and uncertainties as detailed from time to time in the reports filed by PDL with the Securities and Exchange Commission.

SOURCE PDL BioPharma, Inc.


'/>"/>
SOURCE PDL BioPharma, Inc.
Copyright©2009 PR Newswire.
All rights reserved

Related medicine technology :

1. Lilly CEO Lechleiter Calls for Repair of the Engine of Biopharma Innovation
2. NeoStem Acquires China Biopharmaceuticals Holdings, Inc.; Obtains Controlling Interest in Profitable Leading Chinese Pharmaceutical Company
3. Helix BioPharma Corp. Announces Fiscal 2009 Results
4. China Biopharmaceuticals Holdings, Inc. Shareholders Overwhelmingly Support Merger with NeoStem, Inc., a NYSE AMEX Listed Company Trading Under Symbol NBS
5. Keryx Biopharmaceuticals, Inc. Announces Upcoming Poster Presentation of Zerenex (ferric citrate) for the Treatment of Hyperphosphatemia at the Upcoming American Society of Nephrology Renal Week Meeting in San Diego
6. NGM Biopharmaceuticals Appoints Dr. Arthur D. Levinson, Former Genentech CEO, to its Board of Directors
7. Laureate Pharma Announces Signing New Biopharmaceutical Development & Manufacturing Agreement
8. Helix BioPharma Provides Updates on Topical Interferon Alpha-2b and L-DOS47 Following Pre-IND Meetings With the U.S. FDA
9. PDL BioPharma Completes October 1 Special Dividend Payment
10. DOR BioPharma Announces Private Equity Financing of $3.85 Million with its Partner Sigma-Tau and Other Institutional Investors
11. Keryx Biopharmaceuticals Phase 2 Data of KRX-0401 (Perifosine) in the Treatment of Advanced Metastatic Renal Cell Cancer Selected for Oral Presentation at the Eighth International Kidney Cancer Symposium
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:5/25/2016)... According to a new market ... 4D), by Therapeutic Area (Oncology, Cosmeceutical/Plastic Surgery), by Application ... Manufacturers, Hospitals/ Clinics) - Forecast to 2021", published by ... for the forecast period of 2016 to 2021. This ... 2021 from USD 117.3 Million in 2016, at a ...
(Date:5/25/2016)... 2016 According to market research ... and Demand Forecast to 2022 - Industry Insights by ... published by P&S Market Research, the global insulin delivery ... and it is expected to grow at a CAGR ... pump segment is expected to witness the fastest growth ...
(Date:5/25/2016)... Inivata, a global clinical ... tumour DNA (ctDNA) analysis to improve personalised healthcare ... Clive Morris as Chief Medical Officer. ... development programme, scientific collaborations, and through to commercialisation ... in clinical outcomes for patients. Clive ...
Breaking Medicine Technology:
(Date:5/27/2016)... ... May 27, 2016 , ... An influential resource amongst nurses and professionals in ... lights on the variety of topics detailing why we appreciate nurses in so many ... career has gone from being in a major recession to one of the hottest ...
(Date:5/27/2016)... ... May 27, 2016 , ... Beleza Medspa has initiated a new ... This is the first time that Coolsculpting is being used for for more than ... to ensure they meet the prescribed body-fat standard, measured by the circumference-based tape method. ...
(Date:5/26/2016)... ... May 26, 2016 , ... Despite last week’s media reports hinting at ... company to wait until March 2017 for an interest rate increase, according to Rajeev ... of Business. , “The Federal Open Market Committee (FOMC) dot charts are of interest ...
(Date:5/26/2016)... Georgia (PRWEB) , ... May 26, 2016 , ... ... certificate in intellectual property (IP) to its specialty academic programs. , Answering to ... the college’s existing certificate programs in health law, and environmental and land use ...
(Date:5/26/2016)... ... May 26, 2016 , ... There are nearly 14.5 ... 32 million cancer survivors worldwide. On Sunday, June 5, 2016, communities around the world ... Cancer Survivors Day®. , National Cancer Survivors Day® is an annual worldwide Celebration ...
Breaking Medicine News(10 mins):