UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): December 30, 1997

                                XOMA CORPORATION
             (Exact name of registrant as specified in its charter)

                                    Delaware
                 (State or other jurisdiction of incorporation)


        0-14710                             94-2756657
(Commission File Number)            (IRS Employer Identification No.)

2910 Seventh Street, Berkeley, California                  94710
(Address of principal executive offices)               (Zip code)

Registrant's telephone number, including area code (510) 644-1170

                                      None
          (Former name or former address, if changed since last report)



                                      -2-


Item 5.  Other Events

     On January 8, 1998, XOMA Corporation issued the announcement attached
hereto as Exhibit 1, which is incorporated herein by reference.

Item 7.  Exhibits

1.       Press Release dated January 8, 1998

2.       Patent and Exclusive License Purchase Agreement by and between
         Pharmaceutical Partners, L.L.C. and XOMA Corporation dated as of
         December 30, 1997




                                      -3-


                                    SIGNATURE



     Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

Dated:  January 9, 1998            XOMA CORPORATION




                                    By:/s/ Peter B. Davis
                                       -------------------------------
                                       Peter B. Davis
                                       Vice President, Finance and
                                       Chief Financial Officer



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                                  EXHIBIT INDEX


Number   Description

1.     Press Release dated January 8, 1998

2.     Patent and Exclusive License Purchase Agreement by and between
       Pharmaceutical Partners, L.L.C. and XOMA Corporation dated as of December
       30, 1997