Company: XOMAP
Filing Date: 2025-10-03
Form Type: 424B5
Source: 0001193125-25-230393
Chunk: 45

Company: XOMA Royalty Corp
Filing Date: 2025-10-03
Form: 424B5
Chunk 45
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 distribution that is taxable as a dividend, each U.S. Holder is urged to consult
its tax advisor regarding the allocation of their tax basis in the redeemed and remaining Series B Preferred Stock.

Non-U.S. Holders

Distributions.

Distributions, if any, made on our Series
B Preferred Stock to a Non-U.S. Holder to the extent made out of our current and accumulated earnings and profits (as determined under U.S. federal income tax principles) generally will constitute dividends for U.S. federal income tax purposes. To
the extent that the amount of a distribution with respect to the Series B Preferred Stock exceeds our current and accumulated earnings and profits, such distribution will generally constitute a non-taxable
return of capital and will first be applied against and reduce, but not below zero, a U.S. Holder’s adjusted tax basis in such Series B Preferred Stock, and thereafter as capital gain, and taxed in the same manner as gain realized from a sale
or other disposition of Series B Preferred Stock as described below under “Sale, Exchange or Certain Other Taxable Dispositions of the Series B Preferred Stock.”

Dividends paid to a Non-U.S. Holder of our Series B Preferred Stock that is not effectively connected with such Non-U.S. Holder’s conduct of a trade or business in the United States will generally be subject to U.S. federal withholding tax at a 30% rate of the gross amount of the dividends (or such lower rate as may be
specified by an applicable income tax treaty, provided such Non-U.S. Holder furnishes us or our paying agent with documentation required to claim benefits under such tax treaty (generally, a valid IRS Form W-8BEN or W-8BEN-E or a successor form certifying the Non-U.S. Holder’s entitlement to benefits under that treaty)). This
certification must be provided to us and/or our paying agent prior to the payment of dividends and must be updated periodically. If a Non-U.S. Holder is eligible for a reduced rate of U.S. federal withholding tax under an income tax treaty and such
Non-U.S. Holder does not timely file the required certification, such Non-U.S. Holder may be able to obtain a refund or credit of any excess amounts withheld by timely filing an appropriate claim for a refund with the IRS. Each Non-U.S. Holder is urged to consult its tax advisor regarding U.S. federal withholding tax on distributions on our Series B Preferred Stock, including such Non-U.S.
Holder’s eligibility for benefits under