Ligand to pay $2.50-per-share cash dividend, authorizes $100 million stock repurchase

By Lisa Kerner

Charlotte, N.C., March 21 - Ligand Pharmaceuticals Inc. said it will pay a cash dividend of $2.50 per share on April 19 to shareholders of record as of April 5, for a total of about $253 million.

The company's board of directors has also authorized up to $100 million in share repurchases within the next 12 months, according to a company news release.

"Our strategy of building a highly focused R&D- and royalty-driven biotech company allows us the ability to deliver value to shareholders through this one-time cash dividend and open market share repurchases, while maintaining a strong balance sheet and funding ongoing operations," president and chief executive officer John L. Higgins said in the release.

"The cash we are returning to our stockholders is a result of the sale of our commercial operations in 2006 and early 2007, and [Wednesday's] announcement follows a formal, third-party valuation analysis and discussion among company directors and consultants, among other considerations."

The San Diego drug development company had about $415 million of unrestricted cash and investments as of Feb. 28.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.