A large PDL Biopharma (NDAQ:PDLI) shareholder demanded that L. Patrick Gage immediately resign as Chairman and as a member of the board and that the company's management and Board focus on a prompt sale of the company, according to a Schedule 13D/A filed with the SEC today.

Daniel Loeb's Third Point LLC, which owns about 9.7 percent of the company, said in a letter to the board that Patrick Gage's comments during his recent conference call sent a "confusing and unwelcome" message about PDL's strategy. Only eight days before the conference call the company announced the board was continuing its strategic review, but during the conference call Mr. Gage seemed to convey that the company could reposition itself to go-it-alone.

"Dr. Gage's destructive, 'go-it-alone' research and development approach combined with his history as Chief Apologist for Mark McDade's failed strategies and his own spotty record as a board member at other companies
lead us to respectively request that Dr. Gage step down as Chairman and a member of the board," said Third Point head Daniel Loeb. "We reiterate the previous offer of Third Point nominees to serve on the board, where they can be expected to work constructively with management, other board members and representatives of Merrill Lynch to bring the strategic review to a successful conclusion of maximizing value for all PDL shareholders."

Many shareholders have already indicated a strong willingness to sell the company and Third Point is continuing its campaign to do just that. Whether or not they will be successful in forcing a sale remains to be seen, but PDLI remains a great stock to watch!

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