Novartis AG (NYSE: NVS), the Swiss pharmaceutical giant, is proceeding to fully acquire MorphoSys AG (OTCMKTS: MPSYF) by initiating a squeeze-out of its minority shareholders. Novartis had made a public takeover offer of EUR 68 per share, valuing the company at an aggregate EUR 2.7 billion (USD 2.9 billion), in April 2024. The offer closed on 14 May 2024, resulting in Novartis holding 91.04% of MorphoSys’ total shares.
The next step is to fully integrate MorphoSys and delist it from both the Nasdaq and Frankfurt exchanges. The two companies have announced that a delisting agreement has been signed, which includes another offer of EUR 68 per share to outstanding shareholders. This process is anticipated to commence in July, with the delistings to be finalized by the third quarter of 2024.
Novartis has also proposed negotiations with the MorphoSys board for a merger agreement, which will involve cash compensation to minority shareholders.
The planned takeover was first disclosed in February 2024, primarily targeting MorphoSys’ lead Phase III candidate pelabresib, a BET inhibitor for myelofibrosis, and the Phase II candidate tulmimetostat, a dual EZH1/EZH2 inhibitor for solid tumors and hematological malignancies.- Flcube.com
