DOMA Perpetual Supports Pacira's New $300 Million Share Repurchase Authorization as a Meaningful Step to Enhance Value for Shareholders
Rhea-AI Summary
Pacira BioSciences (NASDAQ: PCRX) has announced a significant $300 million share repurchase program, receiving support from DOMA Perpetual Capital Management, which owns 4.2% of the company's outstanding shares.
The initiative, representing the largest buyback in Pacira's history, comes alongside a new emphasis on increasing pre-tax net income margins. DOMA Perpetual views these moves as reflecting Pacira's strong financial position and the Board's commitment to disciplined capital allocation.
According to Pedro Escudero, CEO of DOMA Perpetual, Pacira has entered a period of rapid growth, with scaling earnings and free cash flow enabling capital returns while maintaining investment in growth. DOMA Perpetual believes the stock is currently undervalued relative to both its historical average and future growth potential.
Positive
- $300 million share repurchase program authorized - largest in company history
- Company entering period of rapid growth with scaling earnings
- Strong free cash flow generation capacity
- New focus on increasing pre-tax net income margins
Negative
- None.
News Market Reaction
On the day this news was published, PCRX gained 5.07%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
DOMA Perpetual Believes Pacira's Stock Is Undervalued, Presenting an Opportunity to Execute the Largest Buyback in the Company's History
Following constructive engagement with Pacira, DOMA Perpetual believes the Company's new capital allocation announcementi represents the Board's firm commitment to enhancing shareholder value.
In DOMA Perpetual's view, the announced initiatives reflect Pacira's robust financial position and the Board's commitment to disciplined capital allocation. The combination of the
"After engaging in conversations with representatives of the Company's Board and management team, we are encouraged by the clear steps Pacira is taking to drive long-term value creation," said Pedro Escudero, CEO and CIO of DOMA Perpetual. "We believe Pacira has entered a period of rapid growth; the new capital allocation priorities reflect the Company's considerable momentum as it continues scaling earnings and free cash flow, enabling it to return meaningful capital to shareholders while still investing in growth. It is our conviction the stock is undervalued relative to its historical average valuation and, more importantly, relative to the multiyear cycle of growth ahead."
Contact:
DOMA Perpetual Capital Management LLC
ir@domaperpetual.com
Disclaimer
This press release has been prepared by DOMA Perpetual Management LLC and its affiliates ("DOMA Perpetual"). The views expressed herein reflect the opinions of DOMA Perpetual and are based on publicly available information with respect to Pacira BioSciences, Inc. ("Pacira" or the "Company"). DOMA Perpetual recognizes that there may be confidential information in the possession of the Company that could lead it or others to disagree with DOMA Perpetual's conclusions. DOMA Perpetual reserves the right to change or modify any of such views or opinions at any time and for any reason and expressly disclaims any obligation to correct, update, or revise the information contained herein or to otherwise provide any additional materials.
For the avoidance of doubt, this press release was not produced by any person that is affiliated with Pacira, nor was its content endorsed by Pacira. This press release is provided merely as information and is not intended to be, nor should it be construed as, an offer to sell or a solicitation of an offer to buy any security nor as a recommendation to purchase or sell any security. One or more funds managed by DOMA Perpetual currently beneficially owns shares of the Company.
Some of the materials in this press release contain forward-looking statements. All statements contained herein that are not clearly historical in nature or that necessarily depend on future events are forward-looking, and the words "anticipate," "believe," "expect," "potential," "could," "opportunity," "estimate," "plan," "once again," "achieve," and similar expressions are generally intended to identify forward-looking statements. The projected results and statements contained herein that are not historical facts are based on DOMA Perpetual's current expectations, speak only as of the date of these materials and involve risks, uncertainties and other factors that may cause actual results, performances or achievements to be materially different from any future results, performances or achievements expressed or implied by such projected results and statements. Assumptions relating to the foregoing involve judgments with respect to, among other things, future economic competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the control of DOMA Perpetual.
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i Pacira BioSciences, Inc. https://www.globenewswire.com/news-release/2025/04/17/3063878/0/en/Pacira-BioSciences-Reaffirms-Commitment-to-Enhancing-Value-for-All-Shareholders.html
ii Pacira BioSciences, Inc. https://www.globenewswire.com/news-release/2025/04/17/3063878/0/en/Pacira-BioSciences-Reaffirms-Commitment-to-Enhancing-Value-for-All-Shareholders.html
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SOURCE DOMA Perpetual
FAQ
What is the size of Pacira's (PCRX) new share repurchase program?
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What are the main objectives of Pacira's (PCRX) new capital allocation strategy?
Why does DOMA Perpetual believe Pacira (PCRX) stock is undervalued?
