RENO, Nev., Dec. 14, 2020 /PRNewswire/ -- PDL BioPharma, Inc. ("PDL" or the "Company") (NASDAQ:PDLI) announces it has entered into a Capital Provision Agreement (the "Agreement") with Epps Investments LLC ("Epps").  Under the terms of the Agreement, Epps will pay PDL $51,391,184 no later than December 31, 2020, in exchange for 100% of the payments or other property or value received by PDL on or after the date of the Agreement pursuant to the  settlement agreement (the "Settlement Agreement") with related entities of Defined Diagnostics, LLC (f/k/a Wellstat Diagnostics, LLC) ("Wellstat Diagnostics") announced August 12, 2020, and the underlying claims resolved by the Settlement Agreement.  The Settlement Agreement resolved previously reported litigation relating to loans made to Wellstat Diagnostics by PDL.  PDL has agreed to reimburse Epps for certain of its expenses related to the Agreement.

Pursuant to the Agreement, PDL will also grant to Epps a security interest in PDL's interest in certain collateral, including the Settlement Agreement and the underlying claims resolved by the Settlement Agreement, as security for the payment of the Company's obligations under the Agreement.  Additionally, if the required payments under the Settlement Agreement are not made to PDL in accordance with the terms of the Settlement Agreement by July 26, 2021, PDL has agreed to assign its rights and obligations under the Settlement Agreement, and the underlying claims resolved by the Settlement Agreement, to Epps.

"We are very pleased to have reached this agreement with Epps, as it brings this matter to a close under definitive and attractive terms to our stockholders as we enter the dissolution process," commented Dominique Monnet, PDL's President and CEO.  "The proceeds from this transaction matches the value of the Wellstat notes on PDL's balance sheet, and will be incremental to the initial $7.5 million payment received from the Wellstat parties at the time the Settlement Agreement was signed."