Halozyme Confirms Proposal to Combine with Evotec for €11.00 Per Share in an All-Cash Transaction

Combination Would Create a Global Innovative Services Company with a Unique Set of Differentiated Technologies, a Deep Pipeline, and Best-in-class Industry Team

SAN DIEGO, Nov. 14, 2024 /PRNewswire/ -- Halozyme Therapeutics, Inc. (NASDAQ:HALO) ("Halozyme" or the "Company") confirmed it has submitted a non-binding proposal to the Management Board and Supervisory Board of Evotec SE (NASDAQ:EVO) ("Evotec") to acquire Evotec for €11.00 per share in cash, implying a fully diluted equity value of €2.0 billion. The proposal represents a premium of 109% to Evotec's undisturbed share price on October 15, 2024, the day prior to Triton Partners' initial accumulation of Evotec shares, and a premium of 77% to Evotec's last three-month volume weighted average price on October 15, 2024.

"The combination of Halozyme and Evotec would diversify and extend Halozyme revenue and EBITDA growth and durability well into the next decade and beyond," said Helen Torley, president and chief executive officer of Halozyme. "I am excited about the potential to bring together best-in-class innovative technologies and both organizations' capabilities to create a pan U.S. / European innovative services company. With increased scale, a deep pipeline, and a diversified offering, we would be a highly attractive strategic partner to the biopharma industry. This in turn would provide a remarkable opportunity to accelerate the discovery and development of medicines that will improve patients' outcomes."

Halozyme believes that the proposed combination would create a global innovative services company with:

• Innovation Driven Platform: Evotec's drug discovery platform would become the Center of Excellence within Halozyme for all drug discovery business.
• Expanded Biologic Platforms: Just – Evotec Biologics, a fast-growing, best-in-class biologic manufacturing platform with the potential to expand the worldwide supply of biologic products more affordably, would complement Halozyme's ENHANZE^® drug delivery technology for large volume biologics.
• Accelerated Growth: Halozyme's strong cash generation would support continued reinvestment into Evotec's earlier stage programs and new technologies. Additionally, Halozyme's proven track record of translating innovative technologies into businesses that improve patients' outcomes would result in an opportunity to accelerate the development of new treatments.
• Compelling Financial Upside: The combination would be expected to meaningfully diversify, scale and extend Halozyme revenue and EBITDA well into the next decade and later. The diversified technology offerings of the proposed combination would create opportunities to expand programs with a broader set of partners.

Halozyme has significant cash reserves on-hand and a strong balance sheet. Closing of the transaction would not be subject to any financing contingency and would meet the requirements of BaFin in relation to financing of an offer.

Advisors

Centerview Partners is serving as Halozyme's financial advisor and Weil, Gotshal & Manges LLP, as legal advisor.

About Halozyme

Halozyme is a biopharmaceutical company advancing disruptive solutions to improve patient experiences and outcomes for emerging and established therapies. As the innovators of ENHANZE^® drug delivery technology with the proprietary enzyme rHuPH20, Halozyme's commercially-validated solution is used to facilitate the subcutaneous delivery of injected drugs and fluids, with the goal of improving the patient experience with rapid subcutaneous delivery and reduced treatment burden. Having touched more than 800,000 patient lives in post-marketing use in eight commercialized products across more than 100 global markets, Halozyme has licensed its ENHANZE^® technology to leading pharmaceutical and biotechnology companies including Roche, Takeda, Pfizer, Janssen, AbbVie, Eli Lilly, Bristol-Myers Squibb, argenx, ViiV Healthcare, Chugai Pharmaceutical and Acumen Pharmaceuticals.

Halozyme also develops, manufactures and commercializes, for itself or with partners, drug-device combination products using its advanced auto-injector technologies that are designed to provide commercial or functional advantages such as improved convenience, reliability and tolerability, and enhanced patient comfort and adherence. The Company has two commercial proprietary products, Hylenex^® and XYOSTED^®, partnered commercial products and ongoing product development programs with Teva Pharmaceuticals and Idorsia Pharmaceuticals.

Halozyme is headquartered in San Diego, CA and has offices in Ewing, NJ and Minnetonka, MN. Minnetonka is also the site of its operations facility.

For more information visit www.halozyme.com and connect with us on LinkedIn and Twitter.

Forward-Looking Statements

In addition to historical information, the statements set forth in this press release include forward-looking statements including, without limitation, statements concerning the Company's future plans, objectives, expectations and intentions relating to a potential transaction concerning Evotec, such potential transaction's expected impact and contributions to the Company's and the combined group's operations and financial results, the financing and closing of such potential transaction, as well as the expected timing and benefits of such potential  transaction, the Company's and Evotec's future product development and regulatory events and goals, product collaborations, the Company's business intentions and financial statements and anticipated results.  These forward-looking statements are typically, but not always, identified through use of the words "expect," "believe," "enable," "may," "will," "could," "intends," "estimate," "anticipate," "plan," "predict," "probable," "potential," "possible," "should," "continue," and other words of similar meaning and involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Actual results could differ materially from the expectations contained in these forward-looking statements as a result of several factors, including  uncertainties concerning future matters such as market conditions, changes in domestic and foreign business changes in the competitive environment in which the Company and Evotec operate, discussions with Evotec and its board of directors, and financing a potential transaction, inability of the parties to successfully or timely enter into or consummate a transaction, including the risk that any required regulatory approvals are not obtained, are delayed or are subject to unanticipated conditions that could adversely affect the combined group or the expected benefits of a transaction, unexpected levels of the combined group's revenues, expenditures and costs, unexpected results or delays in the growth of the combined group's business, or in the development, regulatory review or commercialization of the combined group's partnered or proprietary products, regulatory approval requirements, unexpected adverse events or patient outcomes and competitive conditions. These and other factors that may result in differences are discussed in greater detail in the Company's most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission. Except as required by law, the Company undertakes no duty to update forward-looking statements to reflect events after the date of this release.

Halozyme Contacts

Investors

Tram Bui

Halozyme VP, Investor Relations and Corporate Communications

609-359-3016

[email protected]

U.S. Media

Andrea Calise

Teneo

917-826-3804

[email protected] 

Christina Coronios

Teneo

646-531-2882

[email protected] 

German Media

Felix Schoenauer

Teneo

+49 69 867906054

[email protected] 

View original content to download multimedia:https://www.prnewswire.com/news-releases/halozyme-confirms-proposal-to-combine-with-evotec-for-11-00-per-share-in-an-all-cash-transaction-302306384.html

SOURCE Halozyme Therapeutics, Inc.