Galapagos provides update on strategic alternatives for cell therapy business

Galapagos (GLPG) announced that its board of directors had decided to explore all strategic alternatives for its cell therapy business, including a potential divestiture of the Cell Therapy Business, with the goal of preserving shareholder value. As part of its review of strategic alternatives, over the past number of months, the board, through management and its financial advisors, contacted a broad group of both strategic and financial parties to assess their interest in acquiring the cell therapy business. As part of this process, potential interested parties have had access to a data room and confidential presentations on the business from the Galapagos management team. To provide the market with an update on that process, the board has received a limited number of non-binding offers from consortia, predominantly comprised of financial investors, to acquire the cell therapy business. The board and management continue to work with those potential bidders to finalize their due diligence and to explore whether they are able to raise the necessary financing commitments including, where appropriate, supporting their fundraising efforts. The deadline for potential bidders to put forward binding, fully-financed, offers for the cell therapy business is in the coming weeks. The board expects to make a decision as to whether to continue with a divestment process of the cell therapy business or pursue alternative courses of action promptly following receipt of those binding offers, if any. The company expects to make an announcement on the outcome of the review of strategic alternatives for the cell therapy business no later than November 5, with the release of its financial results for the third quarter.