United Therapeutics Converts to a Public Benefit Corporation Following Shareholder Approval
On September 30, 2021, United Therapeutics Corporation (Nasdaq: UTHR) announced its conversion to a public benefit corporation (PBC) following shareholder approval. This marks the first conversion of a public biotech company to a PBC, aligning its corporate structure with its mission to improve patient health, enhance employee engagement, and address sustainability. The company aims to advance the development of novel pharmaceuticals and organ transplant technologies while ensuring strong shareholder returns. Stakeholder support for this initiative underlines its commitment to responsible corporate practices.
- First public biotech company to convert to a PBC, enhancing corporate responsibility.
- PBC conversion aligns with United Therapeutics' mission to improve patient health and develop organ transplant technologies.
- Strong stakeholder support indicating trust and commitment to corporate social responsibility.
- None.
SILVER SPRING, Md. and RESEARCH TRIANGLE PARK, N.C., Sept. 30, 2021 /PRNewswire/ -- United Therapeutics Corporation (Nasdaq: UTHR) today announced it has officially converted to a public benefit corporation (PBC). The conversion follows shareholder approval of the company's proposal to amend its charter at today's Special Meeting of Shareholders. This is the first PBC conversion of a public biotech or pharmaceutical company.
United Therapeutics' conversion to a PBC aligns its legal charter with its longstanding practices of improving patients' health, enhancing employee engagement, attracting top talent, promoting healthy communities, and addressing important sustainability priorities through its use of green-building technologies, while simultaneously delivering strong shareholder returns. The company has a proven track record of value creation, along with six years of experience operating its Lung Biotechnology PBC subsidiary (the first ever PBC subsidiary of a publicly-traded biopharmaceutical company), so it understands this corporate form well. This PBC conversion initiative was led by the Nominating and Governance Committee of United Therapeutics' Board of Directors.
"We are inspired by our shareholders who recognize that caring for our patients, planet, employees, communities, and other stakeholders enhances our ability to generate strong shareholder returns," said Martine Rothblatt, Ph.D., Chairperson and Chief Executive Officer of United Therapeutics. "Becoming a PBC aligns United Therapeutics' corporate structure with our foundational DNA and gives us a strong platform to advance our objectives of developing novel pharmaceutical therapies and finding a cure for end-stage organ diseases by creating an unlimited supply of transplantable organs."
United Therapeutics has been proud to receive support from key partners and employees throughout this process, and our stakeholders have shared the following statements as the company operates in its new form as a PBC:
"My interest in United Therapeutics stems from its clear, passionate care for the patients and communities it serves and an unrelenting mission to find a cure for pulmonary arterial hypertension (PAH). A close relative of mine was diagnosed with PAH, and Martine's deep interest in the mission was inspiring both personally and professionally," said Manju Lal, a Senior Cardiopulmonary Specialist at United Therapeutics. "United Therapeutics values its people and I am proud to be a part of the family, for the past 14 years and counting!"
Robert C. Bourge, M.D., Professor of Medicine, Radiology, and Surgery and Senior Vice Chair, Department of Medicine at The University of Alabama at Birmingham, said, "Having worked with United Therapeutics since its inception, I am not surprised by this evolution. United Therapeutics has always prioritized patients' wellbeing, and its commitment to expanding the therapies available to patients living with pulmonary hypertension and advancing the future of organ transplants will continue to drive its success. I am honored to have been part of the growth and development of United Therapeutics."
John Hoeppner, Head of U.S. Stewardship and Sustainable Investing for Legal & General Investment Management America, added, "As a manager that values responsible financial sustainability as well as leadership and creativity, we applaud UT being willing to explore the potential that becoming a PBC may hold."
A PBC is a for-profit corporation that, while creating value for shareholders, must also consider the best interests of those materially affected by the company's conduct and the specific public benefit that it chooses to adopt in its charter. PBCs are intended to produce public benefits and to operate in a responsible and sustainable manner.
For more information on United Therapeutics' conversion to a PBC, please visit unither.com/PBC.
United Therapeutics: Enabling Inspiration
We build on the strength of our research and development expertise and a distinctive, entrepreneurial culture that encourages diversity, innovation, creativity, sustainability, and, simply, fun. Since inception our mission has been to find a cure for pulmonary arterial hypertension and other life-threatening diseases. Toward this goal we have successfully gained FDA approval for five medicines, we are always conducting new clinical trials, and we are working to create an unlimited supply of manufactured organs for transplantation.
We are the first publicly-traded biotech or pharmaceutical company to take the form of a public benefit corporation (PBC). Our public benefit purpose is to provide a brighter future for patients through (a) the development of novel pharmaceutical therapies; and (b) technologies that expand the availability of transplantable organs. At the same time, we seek to provide our shareholders with superior financial performance and our communities with earth-sensitive energy utilization.
You can learn more about what it means to be a PBC here: unither.com/PBC.
Forward Looking Statements
Statements included in this press release that are not historical in nature are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among others, statements relating to our ability to generate strong shareholder returns, our objective of finding a cure for end-stage organ diseases, including through the development of novel pharmaceutical therapies and technologies that expand the availability of transplantable organs, and the anticipated benefits of the PBC conversion. These forward-looking statements are subject to certain risks and uncertainties, such as those described in our periodic reports filed with the Securities and Exchange Commission, that could cause actual results to differ materially from anticipated results. Consequently, such forward-looking statements are qualified by the cautionary statements, cautionary language and risk factors set forth in our periodic reports and documents filed with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. We claim the protection of the safe harbor contained in the Private Securities Litigation Reform Act of 1995 for forward-looking statements. We are providing this information as of September 30, 2021 and assume no obligation to update or revise the information contained in this press release whether as a result of new information, future events, or any other reason.
For Further Information Contact:
Dewey Steadman at (202) 919-4097
Email: ir@unither.com
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SOURCE United Therapeutics Corporation
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