Novartis to acquire MorphoSys for EUR 68 per share, or aggregate of EUR 2.7B

Novartis (NVS) announced that it has entered into an agreement to make a voluntary public takeover offer to acquire MorphoSys AG (MOR), a Germany-based, global biopharmaceutical company developing innovative medicines in oncology. The acquisition, which is subject to customary closing conditions, including a minimum acceptance threshold of 65% of outstanding shares tendered in the takeover offer and regulatory approvals, further expands and complements Novartis pipeline in oncology, one of its priority therapeutic areas, while also enhancing Novartis global footprint in hematology. Upon completion of the acquisition, Novartis will own pelabresib, a novel and potentially practice changing treatment option with a well-tolerated safety profile provided in combination with ruxolitinib for patients with myelofibrosis. It will also include tulmimetostat, an early-stage investigational dual inhibitor of enhancer of zeste homolog 1 and 2 proteins currently being tested in patients with solid tumors or lymphomas. Under the agreed transaction, which has been unanimously approved by the Board of Directors of both companies, Novartis will make a voluntary public takeover offer for all no-par value bearer shares of MorphoSys AG for EUR 68 per share, or an aggregate of EUR 2.7B. The transaction is subject to customary closing conditions, including acceptance of the takeover offer by at least 65% of MorphoSys AG’s outstanding shares and receipt of regulatory approvals and is expected to close in the first half of 2024. Until the transaction closes, MorphoSys AG will continue to operate as a separate, independent company.