XOMA Royalty said its board authorized quarterly cash dividends on both series of preferred stock and set a July 14 redemption date for all outstanding preferred shares.
Holders of the 8.625% Series A cumulative perpetual preferred stock will receive $0.53906 per share, while holders of the 8.375% Series B cumulative perpetual preferred stock will receive $0.52344 per depositary share. The dividends are payable on or about July 15 to shareholders of record as of July 2.
The company said it will redeem all outstanding preferred stock at $25.00 per share for Series A and $25.00 per depositary share for Series B. The preferred shares outstanding totaled 984,000 for Series A and 1,760,500 depositary shares for Series B.
XOMA said the redemption is tied to its pending merger with Flex Merger Sub, Inc., part of the transaction involving Ligand Pharmaceuticals.
The company also set July 13 at 5:00 p.m. Eastern time as the record date for contingent value rights to be distributed to holders of its common stock. Each common share holder of record on that date will receive one CVR per share as additional merger consideration. As a result of these announcements, the company's shares have moved -0.02% on the market, and are now trading at a price of $41.79. For more information, read the company's full 8-K submission here.
