Here's a batch of Dawn of Magic screenshots that show a character morphing, from a woman into some sort of winged and armoured half woman half bird.

Interestingly, SkyFallen Entertainment's RPG includes an extensive morphing system which affects your characters as they learn new skills. You can read more about it on the official site.

Dawn of Magic is due in the first half of this year, so any time before the end of June I guess.