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EX - 99.1 2 d131786dex991.htm EX - 99.1 Exhibit 99.1 ROYALTY PHARMA Iorphosys ROYALTY PHARMA ANNOUNCES $ 2.025 BILLION STRATEGIC FUNDING PARTNERSHIP WITH MORPHOSYS Royalty Pharma to provide tailored funding solution to enable MorphoSys ' acquisition of Constellation Pharmaceuticals Investment is anchored by royalties on Janssen's Tremfya Partnership also includes royalties on four development - stage therapies , Development Funding Bonds and an investment in MorphoSys common stock Royalty Pharma to host conference call today , Wednesday , June 2 at 8:45 am EDT NEW YORK , NY , and PLANEGG , GERMANY , June 2 , 2021 - Royalty Pharma plc ( Nasdaq : RPRX ) and MorphoSys AG ( FSE : MOR ; Nasdaq : MOR ) today announced a $ 2.025 billion strategic funding partnership as part of MorphoSys ' $ 1.7 billion acquisition of Constellation Pharmaceuticals ( Nasdaq : CNST ) . This partnership is expected to fuel the expansion of the combined company's capabilities to help enable the development and potential approvals of important cancer treatments . This funding partnership is anchored by Royalty Pharma's acquisition of MorphoSys ' rights to receive future royalties on Janssen's Tremfya ( guselkumab ) . Tremfya is an anti interleukin ( IL ) -23 , approved for the treatment of adults living with moderate to severe plaque psoriasis , and for adults with active psoriatic arthritis and is also in clinical development for ulcerative colitis and Crohn's disease . In 2020 , Tremfya generated sales of $ 1.347 billion . Royalty Pharma will also acquire the rights to receive royalties and certain milestone payments on four attractive development - stage therapies : Gantenerumab , an anti - amyloid - beta monoclonal antibody , in Phase 3 development for Alzheimer's disease by Roche . Royalty Pharma will purchase the rights to recieve 60 % of MorphoSys ' future royalties on gantenerumab . Otilimab , a fully human monoclonal antibody that inhibits granulocyte - macrophage colony - stimulating factor ( GMCSF ) , in Phase 3 development for rheumatoid arthritis by GlaxoSmithKline . Royalty Pharma will purchase the rights to recieve 80 % of MorphoSys ' future royalties and 100 % of its future milestones on otilimab . Pelabresib , a bromodomain and extra - terminal ( BET ) inhibitor for myelofibrosis , in Phase 3 development by Constellation . Royalty Pharma will purchase the rights to receive 3 % of future net sales of pelabresib . CPI - 0209 , a second - generation enhancer of zeste homolog 2 ( EZH2 ) inhibitor , in Phase 2 development for hematological malignancies and solid tumors by Constellation . Royalty Pharma will purchase the rights to receive 3 % of future net sales of CPI - 0209 . Strategic Funding Partnership The long - term strategic funding partnership agreement is comprised of the following terms : $ 1.425 billion upfront payment : In exchange for the rights to receive to receive 100 % of MorphoSys ' future royalties on Tremfya , 80 % of MorphoSys ' future royalties and 100 % of MorphoSys ' future milestone payments on otilimab , 60 % of MorphoSys ' future royalties on gantenerumab , and 3 % of future net sales of Constellation's clinical stage assets ( pelabresib and CPI - 0209 ) , Royalty Pharma will make a $ 1.425 billion upfront payment to MorphoSys , supporting its growth strategy . The proceeds will be used to support the financing of the Constellation transaction and the development of the combined pipeline . Milestone payments : Royalty Pharma will make additional payments to MorphoSys of up to $ 150 million upon reaching certain milestones for otilimab , gantenerumab and pelabresib .