PDL BioPharma - Company to seek to monetize assets

PDL BioPharma (PDL) has announced that following the completion of a strategic review process it has decided to cease additional strategic investments and monetize the company’s assets, returning net proceeds to shareholders. As the assets are not focused on any one area within healthcare, we believe they will likely need to be sold off piecemeal, which will lead to a relatively lengthy process (the company has estimated two to three years or longer). PDL’s stock has typically traded at a discount to its book value ($5.58 per share as of the end of Q319), so this should be a way to unlock the value of the company.