ABVC BioPharma Announces Board Approval of Share Dividend Showing Confidence in Subsidiary Growth and Long-Term Shareholder Value

Associated Press

03-06-2025

Silicon Valley, CA - ( NewMediaWire ) - June 03, 2025 - – ABVC BioPharma, Inc. (NASDAQ: ABVC) ('Company'), a clinical-stage biopharmaceutical company developing therapeutic solutions in ophthalmology, CNS (central nervous systems), and oncology/hematology, announced today that its Board of Directors approved a plan to distribute, one share of stock of AiBtl BioPharma Inc. ('AIBTL'), a corporation organized and existing and under the laws of the State of Delaware, as a dividend reward to its shareholders for each share of ABVC common stock owned by the shareholder (the 'AIBTL Shares'). Based on the Company's current holdings, the Company expects to distribute approximately 15M AIBTL Shares. The distrubtion shall take place after the AIBTL Shares are included in an effective registration statement under the Securities Act of 1933, of which there is no guarantee.
AIBTL is one of the Company's subsidiaries and an entity with which ABVC holds certain licensing agreements, as disclosed in ABVC's public filings with the Securities and Exchange Commission.
This distribution will mark the Company's first dividend payment. The Company believes that this dividend can boost shareholder confidence and trust in the Company's capabilities.
'I am proud of ABVC's journey and that it is in a position to reward its shareholders with a dividend distribution. This distribution shows our confidence in AiBtl's long-term potential and our commitment to providing value to ABVC shareholders.,' said Dr. Uttam Patil, ABVC Chief Executive Officer.
AiBtl is working on developing the Company's Asian Healthcare business; ABVC is its major shareholder, holding 57.8%. The partnership with AIBTL is expected to enhance ABVC's strategic objectives in international business development for its CNS programs of the MDD and ADHD markets and establish partnerships with international pharmaceutical companies.
About AiBtl BioPharma Inc.
AiBtl BioPharma Inc. is a Delaware-based biopharmaceutical company focused on the development of botanical-based therapeutic candidates for central nervous system (CNS) disorders, including major depressive disorder (MDD) and attention deficit hyperactivity disorder (ADHD). Leveraging a combination of traditional botanical knowledge and modern clinical research, AiBtl is advancing drug candidates derived from Polygala tenuifolia, a traditional medicinal herb. AiBtl operates with a strategic focus on Asia-Pacific markets and is exploring collaborative opportunities with global pharmaceutical partners to support late-stage development and commercialization. ABVC BioPharma currently holds a majority ownership stake in AiBtl.
About ABVC BioPharma & Its Industry
ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus(R)) under development. For its drug products, the Company utilizes in-licensed technology from its network of world-renowned research institutions to conduct proof-of-concept trials through Phase II of clinical development. The Company's network of research institutions includes Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. For Vitargus(R), the Company intends to conduct pivotal clinical trials (Phase III) through global partnerships.
Forward-Looking Statements
This press release contains 'forward-looking statements.' Such statements may be preceded by the words 'intends,' 'may,' 'will,' 'plans,' 'expects,' 'anticipates,' 'projects,' 'predicts,' 'estimates,' 'aims,' 'believes,' 'hopes,' 'potential,' or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company's control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. None of the outcomes expressed herein are guaranteed. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) our inability to manufacture our product candidates on a commercial scale on our own, or in collaboration with third parties; (ii) difficulties in obtaining financing on commercially reasonable terms; (iii) changes in the size and nature of our competition; (iv) loss of one or more key executives or scientists; and (v) difficulties in securing regulatory approval to proceed to the next level of the clinical trials or to market our product candidates. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the Securities and Exchange Commission (SEC), including the Company's Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Investors are urged to read these documents free of charge on the SEC's website at http://www.sec.gov. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy any of the Company's securities, nor shall such securities be offered or sold in the United States absent registration or an applicable exemption from registration, nor shall there be any offer, solicitation or sale of any of the Company's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.
Contact:
Uttam Patil
Email: [email protected]