Activist target PDL BioPharma, Inc. (NASDAQ: PDLI) traded 8.7% higher Tuesday following news, after Monday's close, that the company will seek offers for the sale of the company as a whole or of its key assets. The company also announced that Mark McDade has stepped down from his position as chief executive officer and a director effective immediately.
PLDI has been an activist target of Dan Loeb's Third Point LLC and Highland Capital Management. In addition, Stevie Cohen's SAC Capital owns a 'passive investment' in PDLI.
Both activist groups have been calling for McDade's head and a sale of the company as a whole. The one thing the firms didn't get was the head of Chairman L. Patrick Gage, who will now also take over as interim CEO.
Wachovia's analyst sees the stock worth up to $25 per share in a deal. Some have estimated the stock could be worth north of $30. The stock is currently at $23.