PDL BioPharma Announces Successful Conclusion Of Debt Financing Agreement With Durata Therapeutics

PDL BioPharma, Inc. (PDL)

today announced that in connection with the acquisition of Durata Therapeutics, Inc. by Actavis, PDL has received approximately $42.7 million in connection with the termination of PDL's credit agreement with Durata, which included repayment of the full principal amount outstanding of $40 million, accrued interest, and prepayment and change of control premiums.  In October 2013, PDL entered into a structured financing transaction with Durata in which PDL agreed to provide Durata with up to $70 million of debt financing with a five year term and in turn would receive interest on the principal amount outstanding and a security interest in substantially all of Durata's assets. "It was our pleasure to provide financial support to Durata as they advanced Dalvance™ (dalbavancin) through product approval, and we wish them continued success," stated John P. McLaughlin, president and chief executive officer of PDL. "Durata represents one of the 12 transactions we have engaged in to date, and we are continually assessing new opportunities that will enable us to further increase our revenues and thus, continue our policy of paying dividends to shareholders."