Opens in a new tab

Project Type: Investments

Lonza to Acquire Five U.S. Manufacturing Sites From Merck KGaA

Lonza to Buy Five U.S. CDMO Sites From Germany’s Merck KGaA

Swiss contract development and manufacturing organization Lonza has signed a definitive agreement to acquire five U.S. CDMO manufacturing sites from Merck KGaA, Darmstadt, Germany. The deal adds approximately 1,100 employees and more than doubles Lonza’s U.S. CDMO footprint from four to nine sites.

Sites in five locations

The acquired network includes St. Louis, Missouri (bioconjugates); Madison and Verona, Wisconsin (high-potency payload-linkers); Carlsbad, California (viral vector solutions with aseptic fill-finish); and Indianapolis, Indiana (lipid nanoparticle, liposome and PEGylated protein solutions with aseptic fill-finish). Lonza’s U.S. workforce will grow to more than 6,000 employees.

Wolfgang Wienand, Chief Executive Officer of Lonza said:

“This acquisition is a strong fit with our One Lonza Strategy and reflects our disciplined approach to capital allocation. It will significantly expand our US presence, bringing us even closer to our customers, while increasing the resilience of our global manufacturing network.”

Deal details

Lonza will pay a total enterprise valuation in the low- to mid-triple-digit millions of Swiss francs in cash. Closing is expected in mid-2027. The acquired sites are expected to contribute around CHF 250 million in sales in 2028. The deal follows Lonza’s investments in Vacaville, California and a commercial spray-drying facility in Bend, Oregon.