MorphoSys AG — Investor Presentation 2012

Jan 16, 2012

30th Annual J.P. Morgan Healthcare Conference

January 12, 2012

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 – 20 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

Maturing Pipeline Illustrates Successful Execution of Strategy

• 20 clinical programs ongoing
• 16 with seven different partners
• 4 proprietary, un-partnered programs
• Disease areas include cancer, inflammation, CNS, ophthalmology, musculoskeletal, and others

Proven Technology Platform for Making Human Therapeutic Antibodies

Ylanthia – Novel Technology For Unearthing New Antibody Drugs

Full "interrogation" of target is essential for Slonomics inside & for optimization identifying new therapeutic approaches

• New antibody platform comprising over 100 billion fully human antibodies
• Unprecedented structural diversity provides:
• New antibodies against previously inaccessible targets
• Unique epitope coverage
• Improved biophysical properties enhance:
• Production
• Administration
• Stability

78 Therapeutic Antibody Programs Ongoing, 20 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
BHQ880	Novartis	Cancer
BYM338	Novartis	Musculoskeletal
CNTO 1959	Centocor/J&J	Psoriasis
MOR208	-	Cancer
MOR202	-	Cancer
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
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

Current Pipeline Projected HuCAL Drugs on the Market

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

MOR103 Anti-GM-CSF Antibody for Inflammation

• MOR103 is an ultra-high affinity HuCAL antibody against GM-CSF
• GM-CSF is a key inflammatory cytokine
• Activates granulocytes and macrophages
• Stimulates release of other pro-inflammatory mediators
• Triggers release of tissue-degrading substances
• Over-looked target: redundant role in hematopoiesis

• Pathway clinically validated in rheumatoid arthritis

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

• Phase 1b trial in multiple sclerosis patients ongoing
• PK study for sc administration to start in Q1 2012
• Exclusive license to a US patent covering antibodies against GM-CSF for the treatment of chronic inflammatory conditions

2012 Complete enrollment in RA study Results available from RA study Start PK study for sc administration Start enrollment for MS study

MOR208

Anti-Cancer Antibody for B Cell Malignancies

• Humanized antibody against CD19
• In-licensed from Xencor
• Comprises proprietary modification leading to rapid and sustained target cell depletion
• In clinical development for CLL
• Additional trials in other B cell malignancies planned

MOR202 Anti-Cancer Antibody for Multiple Myeloma

• HuCAL antibody against CD38
• Compelling pre-clinical combination data released at ASCO 2011
• MOR202 monotherapy shows dose-dependent reduction of MM graft-induced bone lysis
• MOR202 plus bortezomib or lenalidomide synergistically inhibits bone lysis and substantially reduces M protein levels
• Ongoing phase 1/2a trial:
• Phase 1 dose escalation
• Phase 2a monotherapy extension
• Phase 1b MOR202 plus bortezomib
• Phase 1b MOR202 plus lenalidomide

Partnered Programs Phase 2 Clinical Development

Program	Partner	Disease	Target	Status
n.d.	Novartis	n.d.	n.d.	Clinical proof of concept achieved
CNTO888	Janssen Biotech	Oncology	CCL2 (MCP-1)	Two trials ongoing, one trial completed
CNTO888	Janssen Biotech	Idiopathic pulmonary fibrosis	CCL2 (MCP-1)	Novel approach to IPF
Gantenerumab	Roche	Alzheimer's disease	Amyloid-b	Only anti-Aβ being developed in patients with prodromal AD
BHQ880	Novartis	Osteolytic bone disease	DKK-1	Early data show stimulation of bone formation
BYM338	Novartis	Musculoskeletal	n.d.	Two phase 2 trials ongoing
CNTO1959	Janssen Biotech	Psoriasis	n.d.	Phase 2 trial started in December 2011

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			Shareholdings by Investor Type
EUR millions	Sep. 30, 2011	Dec. 31, 2010	Treasury Stock
Assets			0.4% Unidentified
Cash, Cash Equivalents & Marketable Securities	143.0	108.4	Management & 17% Supervisory Board
Other Current Assets	20.0	24.2	2% Novartis
Total Non-Current Assets	76.7	80.0	Institutional 6.4% 46%
Total Assets	239.7	212.6
Liabilities			Retail
Total Current Liabilities	29.4	21.4	28%
Total Non-Current Liabilities	10.1	5.3
Total Shareholders' Equity	200.2	185.9
Total Liabilities	239.7	212.6	Shares issued: 23,112,167 (Dec. 31, 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)

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