MorphoSys extends gains as Novartis announces $2.9 bln deal to buy it

Morphosys AG

06/02/2024 07:19

** Shares in MorphoSys  MORG.DE  extends gains on Tuesday,
jumping 17% in early Frankfurt trade, after drugmaker Novartis
said it would buy the German biotech firm for 2.7 billion euros
($2.9 billion), confirming an earlier Reuters report
    ** Novartis said it will offer shareholders 68.00 euros per
share in cash for MorphoSys, a premium of over 60% to MorphoSys
closing price of 42.16 euros on Friday before the announcement
    ** "We see MorphoSys as an attractive take-out candidate,"
J.P.Morgan says, citing peak sales potential for its pela BET
inhibitor for myelofibrosis
    ** "We believe pela's value could be maximised by a company
with global commercialisation capabilities in
myelofibrosis/blood cancer," the broker notes
    ** MorphoSys Frankfurt-listed shares spiked 36% on Monday
afternoon following a report Novartis was in advanced talks to
buy the company, while its U.S.-listed shares  MOR.O  surged 50%
    ** Shares in Novartis  NOVN.S  edge 0.3% higher in premarket
trade

 (Reporting by Linda Pasquini)
 ((linda.pasquini@thomsonreuters.com))