Lonza Acquires Merck U.S. CDMO Facilities, Competing with Samsung Biologics
Swiss Lonza, a global contract development and manufacturing organization (CDMO) company, will acquire the United States CDMO business of German Merck.With Samsung Biologics in the process of acquiring the peptide CDMO company Polypeptide Group, the facility expansion competition between the two com
Swiss contract development and manufacturing organization (CDMO) company Lonza has agreed to purchase the United States-based CDMO business of German Merck. This news comes shortly after Samsung Biologics announced its intent to acquire the peptide CDMO company Polypeptide Group. The acquisition will expand Lonza's US production facilities from four to nine locations, and increase its US workforce from 4,000 to 6,000 employees.
The price of the acquisition is expected to be around 100 million to 600 million Swiss francs, or $126.3 million to $769.2 million. The acquired facilities, located in Missouri, Wisconsin, Indiana, and California, are projected to generate about 250 million Swiss francs ($315.8 million) in annual revenue by 2028. The Wisconsin facility, in particular, specializes in producing key ingredients for anticancer drugs.
Lonza's acquisition is expected to accelerate its expansion plans in the US, as it seeks to fill gaps in clinical manufacturing facilities. The deal is anticipated to be finalized in mid-2027, contingent upon regulatory approvals and other conditions. Meanwhile, Samsung Biologics has already acquired GlaxoSmithKline's biopharmaceutical production facility in Maryland, and plans to finalize its purchase of Polypeptide Group by the first quarter of next year, thereby further expanding its supply chain.
Written by urgent.news from BusinessKorea's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
