MorphoSys closes on the alliance with Celgene

14 August 2013

German biotech firm MorphoSys (FSE: MOR) that its MOR202 alliance with Celgene (Nasdaq: CELG), the world’s largest independent biotech company, has become effective upon receiving anti-trust clearance under the US Hart-Scott-Rodino Act (The Pharma Letter June 27).

Under the terms of the accord to jointly develop and co-promote MOR202, currently being evaluated in a Phase I/IIa trial in patients with relapsed/refractory myeloma, in Europe MorphoSys received an upfront license fee of 70.8 million euros ($94.5 million) and included an equity investment. The total potential value of this transaction, assuming all development, regulatory and sales milestones are reached, may be up to 628 million euros.

Jens Holstein, chief financial officer of MorphoSys, commented: "We are very pleased about receiving regulatory clearance and will now put our strategic alliance with Celgene into action. The upfront payment plus the equity further strengthens our financial position, enabling us to expand our proprietary portfolio of promising development candidates through targeted investments."

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