Genmab announces share capital reduction

COPENHAGEN, Denmark - Genmab (NASDAQ:GMAB) A/S, a biotechnology company specializing in pharmaceutical preparations, has announced a share capital reduction, as stated in a recent filing with the U.S. Securities and Exchange Commission. The Danish firm, with a market capitalization of $11.67 billion and currently trading at $17.58, made the declaration in a Form 6-K report dated today, April 10, 2025. According to InvestingPro data, management has been actively buying back shares, suggesting confidence in the company's future prospects.

The submission, which is incorporated by reference in Genmab's registration statements, indicates a strategic adjustment to the company's capital structure. The report, signed by Executive Vice President & Chief Financial Officer Anthony Pagano, did not specify the extent of the reduction or the immediate rationale behind it.

Genmab, headquartered at Toldbodgade 33, 1253 Copenhagen K, operates within the Standard Industrial Classification code 2834, which encompasses companies engaged in pharmaceutical preparations. The company's business address and mailing address are identical, located in the Danish capital.

The SEC filing also notes that Genmab A/S will continue to file annual reports under the cover of Form 20-F. This form is used by foreign private issuers to provide a comprehensive overview of the company's financial health and operations to the SEC and investors.

The share capital reduction is part of the official records and will be factored into the company's ongoing financial disclosures and regulatory compliance. Investors and stakeholders can refer to the Form 6-K for detailed information, which is now a part of the public document count associated with Genmab A/S.

The announcement of the share capital reduction is based on the press release statement included in the SEC filing. This move by Genmab A/S reflects the company's ongoing financial strategies and corporate governance practices. The impact of this capital adjustment on Genmab's operations or market performance has not been detailed in the filing.

In other recent news, Genmab A/S has announced a significant share buyback program, aiming to repurchase up to 2.2 million shares for a maximum value of approximately $610 million. This initiative, conducted under a non-discretionary agreement with Goldman Sachs International, is expected to conclude by July 10, 2025. The buyback is designed to reduce the company's capital and fulfill obligations under its Restricted Stock Unit program. Additionally, Genmab has been actively purchasing its own shares as part of ongoing buyback activities, with transactions reported to the U.S. Securities and Exchange Commission. These activities are part of the company's strategy to optimize its capital structure and provide value to shareholders.

In another development, Genmab is facing a legal challenge from AbbVie Inc (NYSE:ABBV)., which has filed a lawsuit alleging misappropriation of trade secrets related to antibody-drug conjugates. Genmab has denied these allegations and plans to defend itself vigorously. Despite the lawsuit, Genmab continues its collaboration with AbbVie on the development of the drug epcoritamab. Investors and stakeholders are closely monitoring these developments, as they reflect the company's ongoing efforts to manage its capital and address legal challenges.

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