Lakefront (GLPG) Morgan Stanley 24th Annual Global Healthcare Conference summary

Strategic transformation and portfolio focus

• Transitioned from ex vivo CAR-T to a T-cell engager portfolio, winding down legacy programs and reducing annual spend from $300 million, with the process nearly complete.

• Secured a major asset, gamgertamig, through a competitive process, with Gilead co-funding and sharing operational responsibilities.

• Maintains a strong partnership with Gilead, who retains opt-in rights and will commercialize the lead program, while the company receives royalties.

• Focused on orphan autoimmune diseases with significant commercial potential, aiming for first-in-class positioning.

• Integration of the Ouro team has been smooth, enhancing early translation and clinical development capabilities.

Clinical development and competitive positioning

• Gamgertamig has shown compelling efficacy and safety in over 60 autoimmune patients and 100+ myeloma patients, with a lower rate of cytokine release syndrome compared to competitors.

• Lead indications include ITP, hemolytic anemia, and pemphigus vulgaris, with clear proof of concept and orphan drug designations.

• Registration studies for ITP and AIHA are set to begin next year, with basket studies in additional autoimmune diseases also planned.

• The drug is administered subcutaneously as an outpatient therapy, with a short initial dosing course and a focus on immune reset.

• Holds a 2+ year lead over competitors in the BCMA T-cell engager space, with a well-established dosing regimen.

Financial position and capital allocation

• Expected to end the year with €2 billion in cash, with €1.6 billion projected after all Ouro and operational spend through first approval of gamgertamig.

• €400 million is available for gamgertamig and preclinical portfolio, with a €500 million bucket for independent use, including a €50 million share buyback.

• Additional income streams include royalties from Jyseleca (€15–20 million/year), interest income from cash holdings, and tax credit receivables (€20–35 million/year).

• Legacy equity investments and out-licensing provide further potential upside.