Celgene Board Recommends Stock Split

   By Michael Calia 
 

Celgene Corp. (CELG) on Thursday said its board had voted to recommend a stock split to the biopharmaceutical company's shareholders.

"This recommendation reflects our continued confidence in the long-term outlook for the company," Chairman and Chief Executive Bob Hugin said.

Celgene--which has continued to report improving revenue as it pursues an aggressive growth plan--last month boosted its earnings outlook for the recently ended year and raised its long-term growth targets.

Celgene's earnings guidance for 2014 fell below analysts' expectations, but the company is known for offering cautious initial guidance before subsequently raising targets.

The stock-split recommendation is subject to shareholder approval at the Summit, N.J.-based company's annual meeting, which is scheduled for June 18.

The proposed split would boost shares outstanding to about 812 million from about 406 million, according to Celgene.

Shares of Celgene were inactive premarket. The stock closed Wednesday at $160.54 and is down 5% so far this year.

Write to Michael Calia at [e-mail]

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