INCLINE VILLAGE, Nev.,
Sept. 11, 2019 /PRNewswire/
-- PDL BioPharma, Inc. ("PDL" or the "Company") (Nasdaq: PDLI)
announced that the Supreme Court of New
York, County of New York,
Commercial Division, issued its decision today in PDL's previously
disclosed litigation related to defaults by Wellstat Diagnostics on
loans made to it by the Company. The loans of $44,100,000 were made pursuant to a loan
agreement between Wellstat Diagnostics and PDL dated August
2013. Today's decision resolved a dispute regarding the
validity and enforceability of guarantees on the loan made by
related entities of Wellstat Diagnostics (the "Wellstat Diagnostics
Guarantors").
The summary judgment decision holds that the guarantees executed
by the Wellstat Diagnostics Guarantors are valid and enforceable,
and that the Wellstat Diagnostics Guarantors are liable for the
amount owed under the loan agreement. The court ordered a damages
inquest before a special referee to calculate the amount owed under
the loan agreement between Wellstat Diagnostics and PDL. PDL
expects to seek recovery for the full amount due under the terms of
the loan, including the principal, accumulated interest, further
advances and fees.
"We are very pleased with the decision by the Supreme Court of
New York" said Dominique Monnet, president and CEO of PDL. "We
view the Company's anticipated award in this case as an excellent
outcome for our company and our shareholders."
The Wellstat Diagnostic Guarantors have 30 days from the filing
of the notice of entry of the New
York Court's decision on summary judgment to file a notice
of appeal to the Appellate Division of the Supreme Court of
New York.
About PDL BioPharma, Inc.
PDL's mission is to improve the lives of patients and create
value for our shareholders and our people by applying our capital
and expertise for the successful development and commercialization
of innovative therapeutics by our partner companies. We deliver on
our mission by entering into strategic transactions involving
innovative late clinical-stage or early commercial-stage
therapeutics with attractive revenue growth potential.
NOTE: PDL, PDL BioPharma, the PDL logo and associated
logos and the PDL BioPharma logo are trademarks or registered
trademarks of, and are proprietary to, PDL BioPharma, Inc. which
reserves all rights therein.
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SOURCE PDL BioPharma, Inc.