• 21 Aug 2024
• Admin
• News Article

Eli Lilly Completes Acquisition of Morphic to Improve Outcomes for People Living with Inflammatory Bowel Disease

Eli Lilly completes acquisition of Morphic to improve outcomes for people living with inflammatory bowel disease

Overview

Eli Lilly and Company announced the successful completion of its acquisition of Morphic Holding, Inc. Morphic is a biopharmaceutical company developing oral integrin therapies for treatment of serious chronic diseases, including a selective oral small molecule inhibitor of a4ß7 integrin (known as MORF-057) for inflammatory bowel disease (IBD).

Words from CSO: Lilly

• “We are committed to exploring innovative approaches for immunologic diseases and believe Morphic’s pipeline holds promise in improving outcomes and expanding treatment options for people with devastating conditions like IBD,” said Daniel Skovronsky, chief scientific officer of Lilly and president, Lilly Research Laboratories and Lilly Immunology. 
• “Acquiring Morphic reinforces our growing capabilities in gastroenterology, building on the strong foundation of Omvoh, our first-in-class molecule already approved and launched around the world for ulcerative colitis and under regulatory review for Crohn’s disease. Further, the acquisition allows Lilly to research potential combination treatments that could better serve people beyond what is possible with currently available medicines.”

About the Share

• Lilly’s tender offer to acquire all of the issued and outstanding shares of common stock of Morphic (the “Shares”), at a purchase price of $57 per share, net to the stockholder in cash, without interest thereon and subject to any applicable tax withholding, expired as scheduled at one minute past 11:59 p.m., Eastern time, on August 15, 2024 and was not further extended. 
• Computershare Trust Company, N.A., the depositary and paying agent for the tender offer, has advised Lilly that, as of the expiration of the tender offer, 46,731,511 Shares were validly tendered and not validly withdrawn, representing approximately 92.8% of the issued and outstanding Shares. 
• Such Shares have been accepted for payment and will be promptly paid for in accordance with the terms of the tender offer. 
• Following the completion of the tender offer, Lilly completed the acquisition of Morphic through the previously planned second-step merger. 
• Morphic’s common stock will be delisted from The Nasdaq Global Market.

Professional Advisor for Lilly

• For Lilly, Citi is acting as the exclusive financial advisor and Kirkland & Ellis LLP is acting as legal counsel. 
• For Morphic, Centerview Partners LLC is acting as the exclusive financial advisor. 
• Evercore Group L.L.C. also provided advice to Morphic. 
• Fenwick & West LLP is acting as legal counsel for Morphic.