MorphoSys AG — Investor Presentation 2011

Nov 22, 2011

Deutsches Eigenkapitalforum

Frankfurt – November 22, 2011

This presentation includes forward-looking statements.

Actual results could differ materially from those included in the forward-looking statements due to various risk factors and uncertainties including changes in business, economic competitive conditions, regulatory reforms, foreign exchange rate fluctuations and the availability of financing.

These and other risks and uncertainties are detailed in the Company's Annual Report.

MorphoSys – Investment Proposition

Broad Pipeline

78 drug programs, 19 in clinical trials

Proven Technology

Industry's most successful antibody library technology

Increasing Market Penetration Novel diagnostic products

Financial Strength Profitable, strong balance sheet

Experienced Management Team More than 80 years of pharma & biotech experience

Growing Pipeline Illustrates Successful Execution of Strategy

Clinical Total

78 Therapeutic Antibody Programs Ongoing, 19 in Clinical Trials

Program	Partner	Indication	Discovery	Pre-clinic	Phase 1	Phase 2
MOR103 (2 programs)	-	Rheumatoid arthritis, Multiple sclerosis
not discl.	Novartis	not discl.
CNTO888 (2 programs)	Centocor/J&J	Cancer, Idiopathic pulmonary fibrosis
Gantenerumab	Roche	Alzheimer's Disease				Data!
BHQ880	Novartis	Cancer
BYM338	Novartis	Musculoskeletal				New!
MOR208	-	Cancer
MOR202	-	Cancer			New!
CNTO 1959	Centocor/J&J	Psoriasis
CNTO 3157	Centocor/J&J	Asthma
not discl.	Centocor/J&J	Inflammation
not discl.	Novartis	Ophthalmology
not discl.	Novartis	Inflammation
not discl.	Boehringer Ingelheim	not discl.
not discl.	Pfizer	Cancer
OMP-59R5	Oncomed	Cancer
OMP-18R5	Oncomed	Cancer
BAY94-9343 (ADC)	Bayer HealthCare	Cancer			New!
25 Partnered Programs	Various Partners	Various Indications
33 Programs, incl. 2 co-dev with Novartis	Various Partners	Various Indications			68 Partnered Programs	10 Proprietary Programs

MOR103 Anti-GM-CSF Antibody for Inflammation

• MOR103 targets inflammatory mediator GM-CSF
• Blocks GM-CSF activity in processes central to inflammation and joint damage associated with rheumatoid arthritis

• Pathway clinically validated

• HuCAL antibody being developed in major indications

• Phase 1b/2a trial in rheumatoid arthritis patients ongoing
• Phase 1b trial in multiple sclerosis patients planned

• Exclusive license to a US patent covering antibodies against GM-CSF for the treatment of chronic inflammatory conditions

• Humanized, high-affinity anti-CD19 antibody, in-licensed from Xencor

• Comprises proprietary modification leading to rapid and sustained target cell depletion
• In clinical development for leukemia

Start Phase 1 study in CLL patients

2010 2011

%ADCC

Namalwa

Rituximab (CD20)

XmAb (-) control

MOR202 A New Anti-Cancer Antibody

• High affinity HuCAL antibody targeting CD38
• MOR202 induces killing of multiple myeloma cell lines and primary cells
• Use of targeted therapy in combination with standard regimens in myeloma can minimize adverse events while increasing efficacy through different mechanism
• Very promising pre-clinical combination data released at ASCO

Page 9

Partnered Programs in Phase 2 Clinical Development

Program	Partner	Disease	Target	Status
n.d.	Novartis	n.d.	n.d.	Clinical proof of concept achieved
CNTO888	Centocor Ortho Biotech	Oncology	CCL2 (MCP-1)	Two trials ongoing, one trial completed
CNTO888	Centocor Ortho Biotech	Idiopathic pulmonary fibrosis	CCL2 (MCP-1)	One trial ongoing
Gantenerumab	Roche	Alzheimer's disease	Amyloid-b	Study in patients with prodromal AD First amyloid imaging data published
BHQ880	Novartis	Osteolytic bone disease	DKK-1	Early data show stimulation of bone formation (three trials ongoing)
BYM338	Novartis	Musculoskeletal	n.d.	Two phase 2 trials ongoing

Current Pipeline Projected Drugs on the Market

Source: MorphoSys internal statistics & Tufts Centre for the Study of Drug Development

Proven Technology Platform for Making Human Therapeutic Antibodies

AbD Serotec Segment Complements Therapeutic Business

Antibodies for research and diagnostic markets

Diagnostic Antibodies

• Using proprietary technologies to deliver superior Dx antibodies
• Future upside via royalties

Research Antibodies

• Catalogue of 15,000+ products & custom HuCAL antibodies
• Stable and recurring cash flows

EUR millions	Guidance 2011	2010
AbD Serotec Segment Revenues	~20	20.2
AbD Serotec Profit Margin	~ 4%	6%

P&L and Guidance 2011

EUR millions	2010	Guidance 2011	9M 2011
Revenues	87.0	slightly below 105	83.7
Total Operating Expenses	77.4		64.1
Proprietary R&D Expenses	26.3		26.1
Other Operating Income	0.2		0.3
Profit from Operations	9.8	10 – 13	19.9

Balance Sheet
EUR millions	Sep. 30, 2011	Dec. 31, 2010
Assets
Cash, Cash Equivalents & Marketable Securities	143.0	108.4
Other Current Assets	20.0	24.2
Total Non-Current Assets	76.7	80.0
Total Assets	239.7	212.6
Liabilities
Total Current Liabilities	29.4	21.4
Total Non-Current Liabilities	10.1	5.3
Total Shareholders' Equity	200.2	185.9
Total Liabilities	239.7	212.6

Shares issued: 23,047,541 (Sep. 30, 2011)

Management Team

Dr. Simon E. Moroney, CEO

• Co-founder, previously at ImmunoGen
• German Cross of the Order of Merit (2002), Bavarian State Medal for Outstanding Services to the Bavarian Economy (2009)

Jens Holstein, CFO

• Joined MorphoSys in 2011
• Formerly at Fresenius: Regional CFO for region EME of Fresenius Kabi AG; several financial and general management positions at Fresenius; and in consulting industry

Dr. Arndt Schottelius, CDO

• Joined MorphoSys in 2008
• Formerly Medical Director in Immunology at Genentech Inc.; Berlex Biosciences, USA; Schering, Germany; Charité University Hospital, Berlin

Dr. Marlies Sproll, CSO

• Joined MorphoSys in 2000, promoted to CSO in 2005
• Formerly at Boehringer Ingelheim in Vienna; Merck KGaA in Darmstadt

The Pipeline What's Coming Up?

Expected dates for completion of clinical trials (MorphoSys estimates)

Forthcoming Events

MOR103

• US patent granted on MOR103
• Complete enrollment Phase 1b/2a in rheumatoid arthritis
• Start Phase 1b in multiple sclerosis
• Start clinical study of subcutaneous formulation

MOR202

• Pre-clinical data presented at ASCO
• Start Phase 1 in multiple myeloma

Partners

• 1–3 INDs ()
• Data from ongoing studies

First HuCAL antibody-based diagnostic launched

• Further technology announcements
• New deal(s) based on Slonomics technology

Thank You

www.morphosys.com

Dr. Simon Moroney

Chief Executive Officer

Phone +49 (0)89 / 899 27-311 Fax +49 (0)89 / 899 27-5311 Dr. Claudia Gutjahr-Löser Head of Corporate Communications & IR

Phone +49 (0)89 / 899 27-122 Fax +49 (0)89 / 899 27-5122 Email investors@morphosys.com

HuCAL®, HuCAL GOLD®, HuCAL PLATINUM®, CysDisplay®, RapMAT® and AutoCAL® are registered trademarks of MorphoSys AG, arYla™ is a trademark of MorphoSys AG