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Engineering the Medicines of Tomorrow Company Update November 2018

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Page 1: Engineering the Medicines of Tomorrow · Program Partner Target Disease area Phase 1 Phase 2 Phase 3 Launched Tremfya® (Guselkumab)* Janssen IL-23p19 Psoriasis Gantenerumab Roche

Engineering the Medicines of TomorrowCompany Update

November 2018

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This communication contains certain forward-looking statements concerning the MorphoSys group of companies, including its financial guidance for 2018,

the commencement, timing and results of clinical trials and release of clinical data both in respect of its proprietary product candidates and of product

candidates of its collaborators, the development of commercial capabilities, in particular with respect to MOR208, and the transition of MorphoSys to a

fully integrated biopharmaceutical company, the expected time of launch of MOR208, interaction with regulators, including the potential approval of

MorphoSys’s current or future drug candidates, including discussions with the FDA regarding the potential approval to market MOR208, and expected

royalty and milestone payments in connection with MorphoSys’s collaborations. The forward-looking statements contained herein represent the judgment

of MorphoSys as of the date of this release and involve known and unknown risks and uncertainties, which might cause the actual results, financial

condition and liquidity, performance or achievements of MorphoSys, or industry results, to be materially different from any historic or future results,

financial conditions and liquidity, performance or achievements expressed or implied by such forward-looking statements. In addition, even if MorphoSys’s

results, performance, financial condition and liquidity, and the development of the industry in which it operates are consistent with such forward-looking

statements, they may not be predictive of results or developments in future periods. Among the factors that may result in differences are that

MorphoSys’s expectations regarding its 2018 results of operations may be incorrect, MorphoSys’s expectations regarding its development programs may be

incorrect, the inherent uncertainties associated with competitive developments, clinical trial and product development activities and regulatory approval

requirements (including that MorphoSys may fail to obtain regulatory approval for MOR208 and that data from MorphoSys’s ongoing clinical research

programs may not support registration or further development of its product candidates due to safety, efficacy or other reasons), MorphoSys’s reliance on

collaborations with third parties, estimating the commercial potential of its development programs and other risks indicated in the risk factors included in

MorphoSys’s Registration Statement on Form F-1 and other filings with the US Securities and Exchange Commission. Given these uncertainties, the reader

is advised not to place any undue reliance on such forward-looking statements. These forward-looking statements speak only as of the date of publication

of this document. MorphoSys expressly disclaims any obligation to update any such forward-looking statements in this document to reflect any change in

its expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based or that may affect the

likelihood that actual results will differ from those set forth in the forward-looking statements, unless specifically required by law or regulation.

The compounds discussed in this slide presentation are investigational products being developed by MorphoSys and its partners and are not currently

approved by the U.S. Food and Drug Administration (FDA), European Medicine Agency (EMA) or any other regulatory authority (except for

guselkumab/Tremfya®).

This presentation includes forward-looking statements.

© MorphoSys AG, November 2018

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3© MorphoSys AG, November 2018

Investment Highlights

Proprietary Technology Platforms

Based on leading antibody platforms: over 100 active programs**

MOR208

Our lead product candidate, granted BTD in r/r DLBCL by the FDA; also in evaluation for

development in additional hematological malignancies; worldwide rights retained

Other Proprietary Programs

Multiple additional differentiated proprietary product candidates in development

For MOR106, we have recently signed an exclusive agreement with Novartis

MorphoSys US Inc.

Newly founded MorphoSys US Inc. to build own commercial capabilities

Broad Clinical Pipeline

29* product candidates across proprietary and partnered development programs

Tremfya®

First approved product; growing royalty participation; recent start of clinical development in

Crohn’s disease

* Includes Tremfya® which we still consider a phase 3 compound due to ongoing phase 3 studies in various indications

** Probability of success cannot be predicted

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Building a Commercial, Product-Based Biopharmaceutical Company

© MorphoSys AG, November 2018

Business Model

PARTNERED DISCOVERY

Maximize utilization of the technology

collaborating close with pharma partners

Lucrative source of revenue from license fees,

milestone payments and royalties

PROPRIETARY DEVELOPMENT

Proprietary development, focus on oncology

Selective co-development programs

Retained rights translate into higher revenue

potential

Commercialize in selected settings

TECHNOLOGY: Antibodies (HuCAL & Ylanthia), Peptides; DISCOVERY PARTNERSHIPS (Novel Targets)

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29 Product Candidates in Clinical Development, One Product Launched

© MorphoSys AG, November 2018

Our Clinical Pipeline

* We still consider Tremfya® a phase 3 compound due to ongoing studies in various indications

** MOR103/GSK3196165 is fully out-licensed to GSK

*** License agreement as of July 19, 2018

**** For development in China, Hong Kong, Taiwan, Macao

***** A phase 1 study in healthy volunteers was completed; MOR107 is currently in preclinical investigation with a focus on oncology indications

Program Partner Target Disease area Phase 1 Phase 2 Phase 3 Launched

Tremfya® (Guselkumab)* Janssen IL-23p19 Psoriasis

Gantenerumab Roche Amyloid-ß Alzheimer’s disease

MOR208 - CD19 Hematological malignancies

Anetumab Ravtansine (BAY94-9343) Bayer Mesothelin (ADC) Solid tumors

BAY1093884 Bayer TFPI Hemophilia

BHQ880 Novartis DKK-1 Multiple myeloma

Bimagrumab (BYM338) Novartis ActRIIB Musculoskeletal diseases

CNTO6785 Janssen - Inflammation

Ianalumab (VAY736) Novartis BAFF-R Inflammation

MOR103/GSK3196165** GSK GM-CSF Inflammation

MOR106*** Novartis/Galapagos IL-17C Inflammation

MOR202 I-Mab Biopharma**** CD38 Multiple myeloma

NOV-12 (MAA868) Novartis Factor XI Prevention of thrombosis

Setrusumab (BPS804) Mereo/Novartis Sclerostin Brittle bone syndrome

Tesidolumab (LFG316) Novartis C5 Eye diseases

Utomilumab (PF-05082566) Pfizer 4-1BB Cancer

Xentuzumab (BI-836845) BI IGF-1 Solid tumors

BAY2287411 Bayer Mesothelin Cancer

Elgemtumab (LJM716) Novartis HER3 Cancer

MOR107 (LP2-3)***** - AT2-R Not disclosed

NOV–7 (CLG561) Novartis - Eye diseases

NOV–8 Novartis - Inflammation

NOV-9 (LKA651) Novartis - Diabetic eye diseases

NOV-10 (PCA062) Novartis - Cancer

NOV-11 Novartis - Blood disorders

NOV-13 (HKT288) Novartis - Cancer

NOV-14 Novartis - Asthma

PRV-300 (CNTO3157) ProventionBio TLR-3 Inflammation

Vantictumab (OMP-18R5) OncoMed Fzd 7 Solid tumors

2

12

14

Partnered Discovery Programs

Proprietary Development Programs

Out-licensed Proprietary Developments Programs

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Proprietary

Development Programs

© MorphoSys AG, November 2018

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* For development in China, Hong Kong, Taiwan, Macao

** License agreement as of July 19, 2018

*** MOR103/GSK3196165 is fully out-licensed to GSK

**** A phase 1 study in healthy volunteers was completed; MOR107 is currently in preclinical investigation with a focus on oncology indications

Five Clinical Candidates

© MorphoSys AG, November 2018

Portfolio of Proprietary Development Segment

Program Partner Target Disease area Phase 1 Phase 2 Phase 3

MOR208 - CD19

DLBCL (B-MIND)

DLBCL (L-MIND)

CLL (COSMOS)

MOR202I-Mab

Biopharma*CD38 Multiple myeloma

MOR106**Novartis/

GalapagosIL-17C

Atopic dermatitis (iv)

Atopic dermatitis

(bridging study) (sc)

MOR103/GSK3196165*** GSK GM-CSF Inflammation

MOR107**** - AT2-ROncology under

investigation

6 proprietary or co-developed programs in discovery and 1 in preclinical phase

Proprietary Development Programs

Out-licensed Proprietary Developments Programs

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W. Jurczak et al.; ASH 2016

An Investigational Anti-CD19 Product Candidate for B Cell Malignancies

The Product Candidate

IgG1 antibody targeting CD19

Fc-engineered to enhance target cell-killing

Suggested Modes of Action

ADCC, phagocytosis and direct cytotoxicity

Promising Preclinical and Clinical Package

Depletes B cells in in vitro and in vivo models

Preclinical data supports multiple combination

therapies

Exploring potential biomarker for patient-

specific treatment

© MorphoSys AG, November 2018

MOR208: Proprietary Antibody in Hematological Cancers

ADCC: Antibody-Dependent Cell-Mediated Cytotoxicity

ADCP: Antibody-Dependent Cell-Mediated Phagocytosis

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* GLOBOCAN report 2012; ** Raut et al., 2014; *** Maurer et al., 2014; **** Market Research AplusA

High Unmet Medical Need

© MorphoSys AG, November 2018

MOR208: Diffuse Large B Cell Lymphoma

Very Aggressive and Resistant Tumor

Up to 40% of all patients with DLBCL either fail

to respond to or show relapse on initial

therapy***

Relapsed or Refractory DLBCL

Disease is difficult to treat

Prognosis is poor, especially for elderly and frail

patients

Current treatment options are limited

High unmet medical need

Potential opportunity in r/r DLBCL 2nd+****

U.S.: ca. 8,500 patients non-eligible for HDCT

and ASCT

Most frequently-occurring malignant

lymphoma worldwide

40%

r/r

DLBCL***

33% of NHL

cases are

DLBCL**

Non-Hodgkin Lymphoma

approx. 386,000 cases*

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* Data cut-off June 5, 2018; 81 patients enrolled; data from abstract accepted for oral presentation at ASH 2018, published Nov. 1, 2018

© MorphoSys AG, November 2018

L-MIND: Updated Preliminary Results*

Preliminary Results

Complete response: 33% (n=27)

Partial response: 25% (n=20)

Stable disease: 15% (n=12)

Median PFS: 16.2 months (95% confidence interval: 6.3-NR)

12 month PFS: 70%

Median duration of response: not reached (95% confidence interval: NR-NR)

Median overall survival: not reached (95% confidence interval: 18.6-NR)

12 month OS: 73%

Treatment-emergent Adverse Events (TEAE)

Any grade/grade ≥3: neutropenia in 39/35 (48%/43%) patients, thrombocytopenia 26/14 (32%/17%),

anemia 25/7 (31%/9%), diarrhea 24/1 (30%/1%), pyrexia 18/1 (22%/1%), asthenia 16/2 (20%/2%)

Patient Baseline Characteristics

Median age: 72 years

Median prior lines of therapy: 2

Median follow-up: 12 months

Overall response rate: 58%

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Please Note Limitations of Cross-trial Comparisons to Literature Data

© MorphoSys AG, November 2018

MOR208: L-MIND vs. Lenalidomide Regimens in r/r DLBCL

Parameter L-MIND

Cut-off

June 5th, 2018

Witzig et al.,

2011

Czuzcman et al.,

2017

Wang et al.,

2013

Morschhauser et

al.,

ASH 2016

Compound(s) MOR208 + LEN LEN Monotherapy LEN Monotherapy RTX + LEN OBI + LEN

Phase 2 2 2/3 2 2

Evaluable patient

population

n=81 n=108 n=51 n=32 n=71

Objective

response rate

58% 28% 28% 28% 45%

Complete

response rate

33% 7% 10% 22% 16%

Median PFS,

months

16.2 2.7 3.1 2.8 4.1

MOR208 is an investigational drug that is not approved by FDA for any use.

No head-to-head clinical studies have been performed between MOR208 and the other products in this table. As such,

these cross-trial comparisons of literature data have significant limitations.

The data in this table have been prepared at the request of, and for the sole benefit of, the investor community.

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* For all patients

Please Note Limitations of Cross-trial Comparisons to Literature Data

© MorphoSys AG, November 2018

MOR208: Existing and Upcoming Approaches in r/r DLBCL

Parameter L-MIND

Cut-off

June 5, 2018

Dang et al.,

2014

Sehn et al.,

2018

Scholar-1

Crump et al.,

2017

Juliet

Schuster et al.,

2018

Zuma-1 Neelapu

et al., 2017

Compound(s) MOR208 + lenalidomide

RTX + bendamustine

Polatuzumab + RTX +

bendamustine

Salvage chemotherapies

+ radiation

Tisagenlecleucel(CD19 CAR-T)

Axi-CEL(CD19 CAR-T)

Phase 2 3 2 Retrospectivestudy

2 2

Evaluable patient population

r/r DLBCLn=81

r/r DLBCLn=137

r/r DLBCLn=40

r/r DLBCLn=636

r/r DLBCLn=115

r/r NHLn=101

(DLBCL n=77)

Objective response rate

58% 49% 70% 26% 54%/37%Best/@6 mo.

82%/48%Best/@6 mo.

Complete response rate

33% 18% 58% 7% 40%/30%Best/@6 mo.

58%/46%Best/@6 mo.

Median PFS, months

16.2 4.2 7.6 n/a n/a 5.8*

MOR208 is an investigational drug that is not approved by FDA for any use.

No head-to-head clinical studies have been performed between MOR208 and the other products in this table. As such,

these cross-trial comparisons of literature data have significant limitations.

The data in this table have been prepared at the request of, and for the sole benefit of, the investor community.

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More information about ongoing trials at clinicaltrials.gov

Opportunity Across a Spectrum of B Cell Malignancies

© MorphoSys AG, November 2018

MOR208: Development Plan

Indication Trial / Phase Design Timeline

r/r DLBCL L-MIND

Phase 2

Lenalidomide + MOR208 in relapsed or

refractory DLBCL patients ineligible for

HDCT and ASCT

Data of 81 patients to

be presented at ASH,

final data expected

mid 2019

B-MIND

Phase 2/3

Bendamustine + MOR208 vs. bendamustine +

rituximab in relapsed or refractory DLBCL

patients ineligible for HDCT and ASCT

Primary analysis

expected in Q4 2019

r/r CLL COSMOS

Phase 2

Cohort A: MOR208 + idelalisib

Cohort B: MOR208 + venetoclax

Patients with r/r disease while on a BTK

inhibitor or who are intolerant to such

treatment

Updates at medical

conferences 2018

(EHA, 2018: cohort A;

ASH 2018: cohort B)

DLBCL Front line Under evaluation

Indolent

lymphomas

Under evaluation

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Partnered for Greater China; Being Evaluated for Indications Beyond MM

The Product Candidate

ADCC & ADCP cell-killing mechanisms

Results of phase 1/2a trial in MM to be presented

at ASH 2018

MOR is evaluating future development in

indications other than MM, among those

autoimmune disorders

Partnering Deal with I-Mab in MM (Nov. 2017)

I-Mab received exclusive development and

commercialization rights in China, Taiwan,

Hong Kong and Macau

Payments to MorphoSys

USD 20m upfront

Up to USD 100m milestones

Tiered, double digit royalties

I-Mab will commence a pivotal study of MOR202

in MM in Q1 2019

© MorphoSys AG, November 2018

MOR202: A HuCAL Antibody Directed Against CD38

ADCC: Antibody-Dependent Cell-Mediated Cytotoxicity

ADCP: Antibody-Dependent Cell-Mediated Phagocytosis

ADCC

ADCP

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Partnering Deal with Novartis

*According to CT.gov

MOR106: Development in Atopic Dermatitis

© MorphoSys AG, November 2018

The Product Candidate

Ylanthia antibody targeting IL-17C, a cytokine implicated in a number of inflammatory skin disorders

Originates from 50/50 co-development with Galapagos

Phase 2 trial “IGUANA” in 180 patients with moderate to severe atopic dermatitis

Study started in May 2018, estimated primary completion September 2019*

Phase 1 bridging study with subcutaneous formulation

Study started in September 2018, estimated primary completion August 2019*

Worldwide, exclusive partnering deal with Novartis signed July 19, 2018

MorphoSys / Galapagos remain engaged and responsible for additional studies in atopic dermatitis

Novartis will sponsor clinical PoC studies in other indications

Up-front payment of EUR 95 million

Front-loaded milestone package of up to approximately EUR 850 million

Tiered double-digit royalties (low teens to low twenties) on net commercial sales

MorphoSys and Galapagos to share all payments from Novartis equally

Novartis to fund all future research, development, manufacturing and commercialization costs

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* According to GSK’s Q3 press release, October 2018; **According to GSK during the JP Morgan Biotech CEO Call, September 2018

An Anti-GM-CSF Antibody for Inflammatory Diseases

© MorphoSys AG, November 2018

MOR103/GSK3196165

The Product Candidate

HuCAL antibody fully out-licensed to GSK in 2013

EUR 22.5m upfront payment

Milestone potential of up to EUR 423m

Tiered, double-digit royalties on net sales

GSK solely responsible for the development

and commercialization of the compound

On 22 October, data from the phase II study

(BAROQUE) of GSK3196165 in patients with

rheumatoid arthritis were presented at ACR.*

GSK mentioned rapid onset and marked benefit

on clinically meaningful endpoints such as pain

that support further clinical development for

RA.*

Further development plans: GSK to “be talking

hopefully to regulators before moving into

Phase 3.”**

Suggested mode of action:

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Proprietray Program for Development in Oncology

Role of C5a/C5aR in the Tumor Environment

Attraction of myeloid-derived suppressor cells

thereby dampening anti-tumor responses

Blocking the interaction intends to release this

blockade of anti-tumor responses

Strategic Partnering Agreement with I-Mab as of

Nov 15th, 2018

I-Mab received exclusive rights to develop and

commercialize MOR210 in China, Hong Kong,

Macau, Taiwan and South Korea, while MorphoSys

will retain rights in the rest of the world

USD 3.5m upfront payment

Up to USD 101.5m milestones

Tiered, mid-single-digit royalties

I-Mab to receive low-single-digit royalties on net

sales outside its territories and a tiered

percentage of sub-licensing revenue

© MorphoSys AG, November 2018

MOR210: Preclinical Candidate Targeting C5aR

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* For development in China, Hong Kong, Taiwan, Macao

** License agreement as of July 19, 2018

*** MOR103/GSK3196165 is fully out-licensed to GSK

Proprietary Portfolio: Upcoming Newsflow 2018

Compound Indication Expected Newsflow

MOR208 DLBCL

L-MIND: Continue analysis of maturing data from the

study – Update at ASH 2018

Updates on further development plans in front-line

DLBCL and indolent lymphomas

CLL

COSMOS: Updates at medical conferences 2018

Cohort A: EHA June 16, 2018

Cohort B: ASH 2018

MOR202

(I-Mab Biopharma*)Multiple myeloma Results phase 1/2a study – ASH 2018

MOR106** Atopic dermatitisStart of phase 2 trial – Q2 2018

Start of phase 1 bridging study – Sept. 2018

MOR103/

GSK3196165***Rheumatoid arthritis

Data from phase 2a and 2b trial in RA and phase 2a in

OA presented at ACR

© MorphoSys AG, November 2018

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Partnered Discovery

Programs

© MorphoSys AG, November 2018

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* We still consider Tremfya® a phase 3 compound due to ongoing studies in various indications

24 Product Candidates in Clinical Development, Thereof One Launched

© MorphoSys AG, November 2018

Partnered Discovery Programs Clinical Pipeline

Program Partner Target Disease area Phase 1 Phase 2 Phase 3 Launched

Tremfya® (Guselkumab)* Janssen IL-23p19 Psoriasis

Gantenerumab Roche Amyloid-ß Alzheimer’s disease

Anetumab Ravtansine (BAY94-9343) Bayer Mesothelin (ADC) Solid tumors

BAY1093884 Bayer TFPI Hemophilia

BHQ880 Novartis DKK-1 Multiple myeloma

Bimagrumab (BYM338) Novartis ActRIIB Musculoskeletal diseases

CNTO6785 Janssen - Inflammation

Ianalumab (VAY736) Novartis BAFF-R Inflammation

NOV-12 (MAA868) Novartis Factor XI Prevention of thrombosis

Setrusumab (BPS804) Mereo/Novartis Sclerostin Brittle bone syndrome

Tesidolumab (LFG316) Novartis C5 Eye diseases

Utomilumab (PF-05082566) Pfizer 4-1BB Cancer

Xentuzumab (BI-836845) BI IGF-1 Solid tumors

BAY2287411 Bayer Mesothelin Cancer

Elgemtumab (LJM716) Novartis HER3 Cancer

NOV–7 (CLG561) Novartis - Eye diseases

NOV–8 Novartis - Inflammation

NOV-9 (LKA651) Novartis - Diabetic eye diseases

NOV-10 (PCA062) Novartis - Cancer

NOV-11 Novartis - Blood disorders

NOV-13 (HKT288) Novartis - Cancer

NOV-14 Novartis - Asthma

PRV-300 (CNTO3157) ProventionBio TLR-3 Inflammation

Vantictumab (OMP-18R5) OncoMed Fzd 7 Solid tumors

11

11

In addition, 55 partnered programs are in discovery, 24 in preclinic

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* According to Janssen‘s quarterly reports

Humira® is a trademark of AbbVie Biotechnology Ltd.; Cosentyx® is a trademark of Novartis AG

Janssen’s Novel Biologic Being Developed for Immune-Mediated Diseases

The Drug

First-in-class anti-IL-23 human monoclonal antibody

Generated using MorphoSys’s HuCAL technology

Status

Approved in U.S., EU, Canada and other countries for moderate-to-severe plaque psoriasis and in Japan for psoriasis, psoriatic arthritis and palmoplantar pustulosis

Tremfya® sales Q3 vs. Q2 rose by 36%*; royalty income for 2018 expected in range EUR 12-17m at constant USD currency

Differentiation

Superior clinical efficacy compared to Humira®

Convenience: 8-weekly sc dosing

Ongoing Clinical Development Phase 3 Trials

Phase 3 head-to-head vs. Cosentyx® in plaque psoriasis: Results expected in early 2019

Psoriatic arthritis: 2 phase 3 trials ongoing

Crohn’s disease: Phase 2/3 program started in July 2018

Hidradenitis Suppurativa: Phase 2 start announced in Nov 2018

Partnered Discovery Program: Tremfya® (Guselkumab)

© MorphoSys AG, November 2018

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Differentiated Drugs for Treatment of Patients Suffering Serious Diseases

Technology Platform

HuCAL

Original, ground-breaking platform

First product launched

25 clinical, various pre-clinical &

discovery programs

Lanthipeptides

High target molecule selectivity and

high in vivo stability

Agonistic or antagonistic activity

possible

Bi-specifics

Proprietary formats

Enhanced tumor cell killing via co-

stimulation of tumor-specific effector

T cells

Ylanthia

Latest antibody library, one of the

largest in the industry

Covers huge epitope space, designed for

difficult targets (e.g. MHC/peptide

complexes; GPCRs)

Built to deliver superior antibodies

First program in clinic

Proprietary Human Antibody Libraries

© MorphoSys AG, November 2018

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* According to clinicaltrials.gov as of November 11, 2018; anticipated primary completion dates through 2019, actual events could differ

Cosentyx® is a trademark of Novartis AG

Clinical Phase 2 and 3 Read-outs Potentially Due until end of 2019*

© MorphoSys AG, November 2018

Partnered Pipeline: Expected Primary Completion Dates

Phase 2 Phase 3

Anetumab Ravtansine (BAY94-9343;

Mesothelin)

Cancer

Bimagrumab (BYM338; ActRIIB)

Sarcopenia (dose ranging study)

Gantenerumab (Amyloid-ß)

Mild Alzheimer’s disease

(open label extension)

Bimagrumab (BYM338; ActRIIB)

Sarcopenia (off drug extension)

Bimagrumab (BYM338; ActRIIB)

Diabetes Mellitus (Type 2)

Guselkumab (IL-23p19)

Moderate to severe plaque psoriasis

(ECLIPSE; Head-to-head with Cosentyx®)

Bimagrumab (BYM338; ActRIIB)

Muscular atrophy after hip fracture surgery

Ianalumab (VAY736; BAFF-R)

Primary Sjögren’s syndrome

Guselkumab (IL-23p19)

Moderate to severe plaque psoriasis

(POLARIS)

Ianalumab (VAY736; BAFF-R)

Pemphigus Vulgaris

Setrusumab (BSP804; Sclerostin)

Osteogenesis Imperfecta (Type I, III, IV)

Guselkumab (IL-23p19)

Moderate to severe plaque psoriasis

Utomilumab (PF-05082566; 4-1BB)

Cancer

Xentuzumab (BI-836845; IGF-1)

Prostate cancer (+ enzalutamide)

Guselkumab (IL-23p19)

Pustular or Erythrodermic Psoriasis

Xentuzumab (BI-836845; IGF-1)

Breast cancer

Guselkumab (IL-23p19)

Psoriatic arthritis

(Discover-1)

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24

* Guidance update on July 19, 2018 following MOR106 Deal with Novartis; effective on September 10, 2018 after U.S. antitrust clearance.

** Revenues are expected to include royalty income from Tremfya® ranging from EUR 12-17 million on constant USD currency.

© MorphoSys AG, November 2018

Financial Guidance 2018

Total ordinary shares issued (as of October 31, 2018): 31,839,572

In EUR million Reported FY2017 Q1-Q3 2018 Guidance FY2018*

66.8 66.0 67 to 72**

99.1 55.1 87 to 97

(67.6) (13.0) (55) to (65)

Group Revenues

Proprietary R&D Expenses (incl. Technology Development)

EBIT

Cash Position End of Q3 2018: EUR 481.2 m

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25

To Become A Fully-Integrated Biopharmaceutical Company

© MorphoSys AG, November 2018

Our Strategy

Explore options for the future development of MOR202 in

indications other than MM

Build our commercial capabilities in connection with the

potential future approval of MOR208

Realize the value of our technology platforms by using them

to discover and develop additional proprietary programs

Continue to advance the development of our lead product

candidate MOR208 towards regulatory approval

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Appendix

© MorphoSys AG, November 2018

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Ongoing Clinical Trials (1)

© MorphoSys AG, November 2018

Clinical Programs

Program Partner Target Indication Phase 1 Phase 2 Phase 3 Launched

Guselkumab Janssen/J&J IL23p19 Plaque psoriasis

(CNTO1959) Plaque psoriasis (VOYAGE 1)

Plaque psoriasis (VOYAGE 2)

Pustular/erythrodermic psoriasis

Plaque psoriasis

Plaque psoriasis (POLARIS)

Palmoplantar pustulosis

Moderate to severe plaque psoriasis (SelfDoseTM device)

Moderate to severe plaque psoriasis (ECLIPSE)

Psoriatic arthritis (PsA) (Discover-1)

Psoriatic arthritis (PsA)

Chronic plaque psoriasis (pediatric participants) (PROTOSTAR)

Crohn’s Disease (GALAXI 1)

Hidradenitis suppurativa (HS)

Gantenerumab Roche Amyloid-ß Early Alzheimer՚s disease (GRADUATE-1)

Early Alzheimer՚s disease (GRADUATE-2)

Mild Alzheimer’s disease (Marguerite RoAD) (OLE)

Prodromal Alzheimer’s disease (Scarlett RoAD) (OLE)

Genetically predisposed for Alzheimer’s disease (DIAN)

MOR208 - CD19 Diffuse large B cell lymphoma (DLBCL) (B-MIND)

Chronic lymphocytic leukemia (CLL) or small lymphocytic

lymphoma (SLL) (COSMOS)

Diffuse large B cell lymphoma (DLBCL) (L-MIND)

Anetumab Ravtansine Bayer Mesothelin Mesothelioma (MPM)

(BAY94-9343) Cancer multi-indications

BAY1093884 Bayer TFPI Hemophilia A or B

Hemophilia

BHQ880 Novartis DKK-1 Multiple myeloma (MM) (renal insufficiency)

Smoldering multiple myeloma

Bimagrumab Novartis ActRIIB Hip fracture surgery (efficacy, safety)

(BYM338) Sarcopenia (dose-ranging)

Sarcopenia (withdrawal extension study)

Type 2 diabetes

CNTO6785 Janssen/J&J Chronic obstructive pulmonary disease (COPD)

Rheumatoid arthritis (RA)

Partnered Discovery Programs

Proprietary Development Programs

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* MOR103/GSK3196165 is fully out-licensed to GSK

** License agreement as of July 19, 2018

*** For development in China, Hong Kong, Taiwan, Macao

Ongoing Clinical Trials (2)

© MorphoSys AG, November 2018

Clinical Programs

Program Partner Target Indication Phase 1 Phase 2 Phase 3 Launched

Ianalumab (VAY736) Novartis BAFF-R ADCC mediated B cell depletion and BAFF-R blockade (AMBER)

Pemphigus vulgaris

Idiopathic pulmonary fibrosis

Rheumatoid arthritis (RA)

Primary Sjögren's syndrome (efficacy & safety)

Chronic lymphocytic leukemia (combo with ibrutinib)

MOR103/GSK3196165* GSK GM-CSF Rheumatoid arthritis (RA)

MOR106** Novartis/Galapagos IL-17C Atopic dermatitis (IGUANA) (iv)

Atopic dermatitis (bridging study) (sc)

MOR202 I-Mab*** CD38 Multiple myeloma (MM)

NOV-12 (MAA868) Novartis Factor XI Prevention of thrombosis

Atrial fibrillation

Setrusumab (BPS804) Mereo/Novartis Sclerostin Brittle bone disease (OI) (Type I, III, IV) (ASTEROID)

Tesidolumab (LFG316) Novartis C5 Paroxysmal nocturnal hemoglobinuria

Utomilumab Pfizer 4-1BB Breast cancer (AVIATOR)

(PF-05082566) Acute myeloid leukemia (AML)

Solid tumors (combo with ISA101b vaccination)

Advanced malignancies (combo with avelumab & PF-04518600)

Solid tumors (combo with PF04518600)

Colorectal cancer (combo with cetuximab & irinotecan)

Advanced ovarian cancer (T cell immunotherapy)

R/R DLBCL & MCL (avelumab plus utomilumab-based combination therapy)

Breast cancer (combo with trastuzumab emtansine or trastuzumab)

Follicular lymphoma (combo with rituximab)

Xentuzumab BI IGF-1 Breast cancer

(BI-836845)Castration-resistant prostate cancer (CRPC) (combo with

enzalutamide)

Solid tumors (Japan)

Solid tumors (combo with abemaciclib)

EGFR mutant non-small cell lung cancer (NSCLC)

Partnered Discovery Programs

Proprietary Development Programs

Out-licensed Proprietary Developments Programs

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* A phase 1 study in healthy volunteers was completed. MOR107 is currently in preclinical investigation with a focus on oncology indications

Ongoing Clinical Trials (3)

© MorphoSys AG, November 2018

Clinical Programs

Program Partner Target Indication Phase 1 Phase 2 Phase 3 Launched

BAY2287411 Bayer Mesothelin Cancer

Elgemtumab (LJM716) Novartis HER3 HER2+ cancer (combo with BYL719 & trastuzumab)

MOR107 (LP2-3)* - AT2-R Not disclosed

NOV-7 (CLG561) Novartis n.d. Eye diseases

NOV-8 Novartis n.d. Inflammation

NOV-9 (LKA651) Novartis n.d. Diabetic eye diseases

NOV-10 (PCA062) Novartis n.d. Cancer

NOV-11 Novartis n.d. Blood disorders

NOV-13 (HKT288) Novartis n.d. Cancer

NOV-14 Novartis n.d. Asthma

PRV-300 (CNTO3157) ProventionBio TLR-3 Colitis (PULSE)

Vantictumab Oncomed Fzd 7 Breast cancer (combo with paclitaxel)

(OMP-18R5) Pancreatic cancer (combo with nap-paclitaxel &

gemcitabine)

Partnered Discovery Programs

Proprietary Development Programs

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Please see our website www.morphosys.com for more information about MorphoSys shares and ADSs

Dual Listing

MorphoSys AG Stock Information

© MorphoSys AG, November 2018

Listing in Germany on the

Frankfurt Stock Exchange

Security paper Ordinary shares

(ORD)

Symbol MOR

ISIN DE0006632003

Security Code Number 5531000

Currency EUR

1st trading day March 9, 1999

Listing in the U.S. on the

Nasdaq Global Market

Security paper American depository

shares (ADS)

Symbol MOR

CUSIP 617760202

ISIN US6177602025

Currency US-$

1st trading day April 19, 2018

Ratio 4 ADSs : 1 ORD

Depository Bank BNY Mellon

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31© MorphoSys AG, November 2018

Covering Analysts

Institution Contact

Berenberg Alistair Campbell

Bloomberg Intelligence Cinney Zhang

Bryan Garnier Gary Waanders

Commerzbank Daniel Wendorff

Deutsche Bank Gunnar Romer

Goldman Sachs Keyur Parekh

HSBC Steve McGarry

Independent Research GmbH NN

J.P. Morgan Cazenove James Gordon

JMP Konstantinos N. Aprilakis

Kempen & Co. Anastasia Karpova

Landesbank Baden-Württemberg Timo Kürschner

Oddo BHF Igor Kim

Piper Jaffray Danielle Brill

Royal Bank of Canada Zoe Karamanoli

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MOR208, MOR202, MOR106, MOR103, anetumab ravtansine, gantenerumab and all other product candidates mentioned here are investigational drugs and have not been

approved by the FDA or other ex-US regulatory agencies. HuCAL® , HuCAL GOLD®, HuCAL PLATINUM®, CysDisplay®, RapMAT®, arYla®, Ylanthia®, 100 billion high

potentials®, Slonomics®, Lanthio Pharma® and LanthioPep® are registered trademarks of the MorphoSys Group. Tremfya® is a trademark of Janssen Biotech, Inc.

www.morphosys.com

Thank You

Corporate Communications & IR

Phone +49 (0)89 / 899 27-404

Fax +49 (0)89 / 899 27-5404

Email [email protected]