Incyte Announces Closing of Public Offering of Common Stock

Incyte Corporation (Nasdaq:INCY) today announced the closing of its public offering of 20,700,000 shares of its common stock at a price to the public of $6.75 per share, which includes 2,700,000 shares sold upon exercise by the underwriters of their option to purchase additional shares. The net proceeds to Incyte from the offering are approximately $132.0 million, after deducting the underwriting discount and estimated offering expenses.

The Company intends to use the net proceeds of this offering for general corporate purposes, including research and development activities.

Goldman, Sachs & Co. acted as sole book-running manager of this offering. Morgan Stanley & Co. Incorporated and J.P. Morgan Securities Inc. acted as co-managers.

The shares were issued pursuant to an effective shelf registration statement. Printed copies of the prospectus supplement and prospectus relating to the offering may be obtained from Goldman, Sachs & Co. (Attn: Prospectus Department, 85 Broad Street, New York, New York 10004, Telephone: 1-866-471-2526, Fax: 212-902-9316 or Email at prospectus-ny@ny.email.gs.com).

This press release does not and shall not constitute an offer to sell or the solicitation of an offer to buy the Company’s common stock, nor shall there be any sale of the common stock in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any state. This information does not purport to be a complete description of the Company’s common stock or the offering. This offering was made only by means of a prospectus, including a prospectus supplement, forming a part of the effective shelf registration statement.

About Incyte

Incyte Corporation is a Wilmington, Delaware-based drug discovery and development company focused on developing proprietary small molecule drugs for oncology, inflammation and diabetes. Incyte’s most advanced compound, INCB18424, is in Phase III development for myelofibrosis.

Forward-Looking Statements

Except for the historical information contained herein, the matters set forth in this press release, including statements with respect to the intended use of net proceeds from the offering, are all forward-looking statements within the meaning of the "safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including the risks associated with drug research and development and clinical trials, unanticipated costs in research and development efforts or other unanticipated cash requirements, and other risks detailed from time to time in Incyte’s filings with the Securities and Exchange Commission, including its Quarterly Report on Form 10-Q for the quarter ended June 30, 2009. Incyte disclaims any intent or obligation to update these forward-looking statements.