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| x      | Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
|--------|---------------------------------------------------------------------------------------------------|
|   | For the quarterly period ended June 30, 2012                                                 |

|  ̈ | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934                                                                                        |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | For transition period from               to             |

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| Delaware                                                       | 94-3023969                              |
|----------------------------------------------------------------|-----------------------------------------|
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number) |

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| Large accelerated filer x           | Accelerated filer  ̈ | Non-accelerated filer  ̈ | Smaller reporting company  ̈ |
|-----------------------------------------------|-------------------------------|------------------------------|--------------------------------------------|
| (Do not check if a smaller reporting company) |

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| 10.1*† | Credit Agreement between the Company and Merus Labs International, Inc., dated July 10, 2012                                                                                                                                                |
|--------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         |                                                                                                                                                                                                                                        |
| 10.2#,##     | Offer Letter between the Company and Bruce Tomlinson, dated April 20, 2012 (incorporated by reference to Exhibit 10.1 to Current Report on Form 8-K filed April 27, 2012)                                                                   |
|         |                                                                                                                                                                                                                                        |
| 12.1##       | Ratio of Earnings to Fixed Charges                                                                                                                                                                                                          |
|         |                                                                                                                                                                                                                                        |
| 31.1*        | Certification of Principal Executive Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, as amended                                                                                                |
|         |                                                                                                                                                                                                                                        |
| 31.2*        | Certification of Principal Financial Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, as amended                                                                                                |
|         |                                                                                                                                                                                                                                        |
| 32.1**##     | Certification by the Principal Executive Officer, as required by Rule 13a-14(b) or Rule 15d-14(b) of the Securities Exchange Act of 1934, as amended, and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) |
|         |                                                                                                                                                                                                                                        |
| 32.2**##     | Certification by the Principal Financial Officer, as required by Rule 13a-14(b) or Rule 15d-14(b) of the Securities Exchange Act of 1934, as amended, and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) |
|         |                                                                                                                                                                                                                                        |
| 101.INS##    | XBRL Instance Document                                                                                                                                                                                                                      |
| 101.SCH##    | XBRL Taxonomy Extension Schema                                                                                                                                                                                                              |
| 101.CAL##    | XBRL Taxonomy Extension Calculation Linkbase                                                                                                                                                                                                |
| 101.DEF##    | XBRL Taxonomy Extension Definition Linkbase                                                                                                                                                                                                 |
| 101.LAB##    | XBRL Taxonomy Extension Label Linkbase                                                                                                                                                                                                      |
| 101.PRE##    | XBRL Taxonomy Extension Presentation Linkbase                                                                                                                                                                                               |

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| * | Filed herewith. |
|---|-----------------|

| ** | This certification accompanies the Form 10-Q to which it relates, is not deemed filed with the Securities and Exchange Commission and is not to be incorporated by reference into any filing of Registrant under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended (whether made before or after the date of the Form 10-Q), irrespective of any general incorporation language contained in such filing. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| † | Certain information in this exhibit has been omitted and filed separately with the Securities and Exchange Commission pursuant to a confidential treatment request under 17 C.F.R. Sections 200.80(b)(4) and 24b-2. |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| # | Indicates a management contract or compensatory plan or arrangement, as required by Item 15(a)3. |
|---|--------------------------------------------------------------------------------------------------|

| ## | Previously filed. |
|----|-------------------|

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| Dated: May 23, 2013PDL BIOPHARMA, INC. (REGISTRANT)                |   |
|-------------------------------------------------------------------------|--------|
|                                                                    |   |
|                                                                    |   |
| /s/    John P. McLaughlin                           |   |
| John P. McLaughlin                                                      |   |
| President and Chief Executive Officer(Principal Executive Officer) |   |
|                                                                    |   |
|                                                                    |   |
| /s/   Peter S. Garcia                                    |   |
| Peter S. Garcia                                                         |   |
| Vice President, Chief Financial Officer and Chief Accounting Officer    |   |
| (Principal Financial Officer)                                           |   |