Summary
Bristol Myers Squibb (BMY) filed an 8-K on February 22, 2021, to provide an update on contingent value rights (CVRs) related to the 2019 acquisition of Celgene. The filing details the net sales performance of Abraxane for the year ended December 31, 2020, and the resulting payment to CVR holders. Investors should note this update as it pertains to a financial obligation stemming from a significant prior acquisition. The company has confirmed that the net sales for Abraxane reached $1,246,656,798 for the fiscal year 2020. Consequently, Bristol Myers Squibb will pay approximately $6.17 million to the trustee for the CVR holders. This payment is scheduled to be made by March 8, 2021, with individual CVR holders expected to receive about $0.1425 per right on or around March 8, 2021, after the record date of March 5, 2021. This information is crucial for investors who hold these specific CVRs, as it clarifies the payout based on the product's sales performance.
Key Highlights
- 1BMY provided an update on contingent value rights (CVRs) related to the Celgene acquisition.
- 2The net sales for Abraxane for the year ended December 31, 2020, were reported as $1,246,656,798.
- 3A Net Sales Payment of approximately $6,166,420 will be paid to the CVR trustee.
- 4The payment is expected to be made on or before March 8, 2021.
- 5CVR holders of record as of March 5, 2021, will receive a pro rata portion of the payment.
- 6The approximate payment per contingent value right is $0.142498.