Company: GLPG
Filing Date: 2025-03-27
Form Type: 20-F
Source: 0001558370-25-003806
Chunk: 125

Company: GALAPAGOS NV
Filing Date: 2025-03-27
Form: 20-F
Item: Item 4
Chunk 125
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, divest, partner, or take other similar actions in respect of the small molecule programs without Gilead’s consent or veto. Gilead will not receive any royalties, proceeds, payments, or other consideration arising from these actions.
At the time of separation, Gilead will hold approximately 25% of the outstanding shares in both Galapagos and SpinCo. A lock-up will apply to the shares of Gilead in Galapagos until the termination of the separation agreement, the date that is 6 months after the completion of a qualifying equity financing by Galapagos, or March 31, 2027, whichever is earlier. A lock-up will also apply to the shares of Gilead in SpinCo until 6 months following the separation. Each lock-up is subject to certain customary exceptions and early termination provisions. 
Standstill restrictions will apply to Gilead in relation to both Galapagos and SpinCo. The standstill restrictions in relation to Galapagos will apply as of the separation and terminate on August 22, 2029. During this time Gilead and its affiliates and any party acting in concert with them may not, among other things, acquire voting securities of Galapagos exceeding more than 29.9% of the then issued and outstanding voting securities without our consent, and Gilead may not propose a business combination with or acquisition of Galapagos. Similar standstill provisions will apply to Gilead in relation to SpinCo, which will apply as of the separation and terminate two years thereafter. Both standstills are subject to certain exceptions as provided in the separation agreement.
SpinCo will have a Board of Directors consisting of a majority of independent non-executive Directors. Gilead will be entitled to nominate two Directors of SpinCo, and will no longer have the right to have designees appointed to our Board of Directors, and the two Gilead Directors currently serving on the Board of Directors will step down upon the separation.
We intend to apply for admission to trading and listing of SpinCo’s shares on the regulated market of Euronext Brussels and Euronext Amsterdam and on NASDAQ through American Depositary Shares (ADSs). We will provide transitional services to SpinCo on a cost plus basis during a reasonable period after the separation to facilitate SpinCo’s operations and allow it to operate on a stand-alone basis as soon as reasonably possible. 
As part of the separation, we also agreed with Gilead that SpinCo will provide us with a financing