Pain Therapeutics Declares Special $0.75 Cash Distribution to Shareholders
Pain Therapeutics (NASDAQ: PTIE) announced today that a committee of its Board of Directors has declared a special one-time cash distribution of $0.75 per share to shareholders, or an aggregate of about $34 million.
The Record Date for this distribution is December 17, 2012. The Company expects to complete the distribution on or around December 24, 2012.
The nondividend distribution will be paid entirely from cash reserves. At September 30, 2012, Pain Therapeutics had cash and total investments of about $92 million, no debt and an expected net burn rate of under $10 million for 2012, before giving effect to the nondividend distribution. The Company expects its net burn rate for the first half of 2013 to be $5 million.
Pain Therapeutics continues to be committed to maintaining a strong balance sheet, tight fiscal discipline and investing in core scientific strategies. We believe these operating guidelines have allowed us to return surplus cash to shareholders. In 2007 and 2008, we returned $30 million to shareholders in the form of share repurchases. In 2010, we