BioMarin Reports Exit/Disposal Costs

TL;DR

BioMarin's taking a hit for restructuring, details TBD.

AI Summary

BioMarin Pharmaceutical Inc. reported on May 9, 2024, that it is incurring costs associated with exit or disposal activities. The company has not disclosed specific dollar amounts or the exact nature of these activities in this filing.

Why It Matters

This filing indicates BioMarin is undergoing restructuring or divesting assets, which could impact future financial performance and operational focus.

Risk Assessment

Risk Level: medium — The filing indicates costs associated with exit or disposal activities, suggesting potential restructuring or divestitures that could impact the company's financial health and strategic direction.

Key Players & Entities

• BioMarin Pharmaceutical Inc. (company) — Registrant
• May 9, 2024 (date) — Date of earliest event reported
• Delaware (jurisdiction) — State of incorporation
• 770 Lindaro Street San Rafael California 94901 (address) — Principal Executive Offices
• 415-505-6700 (phone_number) — Registrant's telephone number

FAQ

Key Financial Figures

• $0.001 B — ich registered Common Stock, par value $0.001 BMRN The Nasdaq Global Select Market In
• $15 — regate pre-tax charges of approximately $15 - $20 million during the second quarter
• $20 million — pre-tax charges of approximately $15 - $20 million during the second quarter of 2024, repr

Filing Documents

• bmrn-20240509.htm (8-K) — 24KB
• 0001048477-24-000082.txt ( ) — 146KB
• bmrn-20240509.xsd (EX-101.SCH) — 2KB
• bmrn-20240509_lab.xml (EX-101.LAB) — 21KB
• bmrn-20240509_pre.xml (EX-101.PRE) — 12KB
• bmrn-20240509_htm.xml (XML) — 3KB

05 Costs Associated with Exit or Disposal Activities

Item 2.05 Costs Associated with Exit or Disposal Activities. As previously disclosed in BioMarin Pharmaceutical Inc.'s ("BioMarin" or the "Company") quarterly report on Form 10-Q for the quarter ended March 31, 2024, the Company completed a strategic portfolio assessment of research and development programs during the first quarter of 2024 to determine which have the most transformative potential for patients and value creation for shareholders. With the combined focus on patient impact and commercial opportunity, certain programs will be accelerated that met the highest bar for advancement. As a result of the assessment, certain programs will be discontinued. In connection with the discontinuation of certain research and development programs, on May 9, 2024, the Company committed to a plan to reduce its global workforce by approximately 170 employees. The Company estimates that it will incur aggregate pre-tax charges of approximately $15 - $20 million during the second quarter of 2024, representing one-time cash expenditures for severance and other employee termination benefits. The majority of impacted employees were notified on May 14, 2024, and workforce reductions are expected to be substantially completed by the end of July 2024.

Forward-Looking Statements

Forward-Looking Statements This current report on Form 8-K contains forward-looking statements about the business prospects of the Company, including, without limitation, statements regarding the results and intended benefits of the Company's strategic portfolio assessment; the number of employees impacted by the reduction in force; and the Company's expectations regarding the estimated costs, the timing of such costs, and the timing of completion of the reduction in force. These forward-looking statements are predictions and involve risks and uncertainties such that actual results may differ materially from these statements. These risks and uncertainties include, among others: the assumptions underlying the Company's expected benefits associated with the strategic portfolio assessment decisions and the estimates of expenses associated with the reduction in force prove inaccurate; the Company incurs greater than estimated expenses in connection with the reduction in force; the Company's business, financial condition or operating results are adversely affected by the strategic portfolio assessment decisions or the reduction in force; and those factors detailed in BioMarin's filings with the Securities and Exchange Commission ("SEC"), including, without limitation, the factors contained under the caption "Risk Factors" in BioMarin's Quarterly Report on Form 10-Q for the quarter ended March 31, 2024 as such factors may be updated by any subsequent reports. Stockholders are urged not to place undue reliance on forward-looking statements, which speak only as of the date hereof. BioMarin is under no obligation, and expressly disclaims any obligation to update or alter any forward-looking statement, whether as a result of new information, future events or otherwise.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. BioMarin Pharmaceutical Inc., a Delaware corporation Date: May 14, 2024 By: /s/ G. Eric Davis G. Eric Davis Executive Vice President, Chief Legal Officer

View Full Filing

View this 8-K filing on SEC EDGAR