The Swiss CDMO has agreed to acquire five U.S. manufacturing sites from Merck to significantly expand its American footprint, and add capabilities across bioconjugates, viral vectors, and advanced drug delivery.
Lonza, the Swiss-based CDMO, has signed a definitive agreement to acquire five manufacturing sites in the U.S. from Merck, increasing its U.S. manufacturing network from four to nine sites (1). The acquisition, which is expected to close in mid-2027 (subject to customary closing conditions), has been valued in the region of the low- to mid-triple-digit millions of Swiss francs (approx. USD 120–600 million).
The new sites to be acquired by Lonza will add end-to-end development and manufacturing capabilities in areas of growing demand, including antibody-drug conjugates (ADCs) and other bioconjugates, viral vectors for cell and gene therapies, and advanced drug-delivery technologies. Approximately 1,100 highly skilled employees will join Lonza as part of the deal, increasing the company’s U.S. workforce to more than 6,000 personnel.
“This acquisition is a strong fit with our One Lonza Strategy and reflects our disciplined approach to capital allocation, investing in opportunities that will drive long-term, profitable growth and deliver attractive returns,” said Wolfgang Wienand, Chief Executive, Lonza, in a company press release (1). “It will significantly expand our US presence, bringing us even closer to our customers, while increasing the resilience of our global manufacturing network.”
Under the agreement, Lonza will acquire facilities in St Louis, Missouri; Madison and Verona, Wisconsin; Carlsbad, California; and Indianapolis, Indiana. The St Louis site will add bioconjugate capabilities, while the Wisconsin sites will bring high-potency payload-linker manufacturing. The Carlsbad facility will provide end-to-end viral vector solutions, including aseptic fill/finish, and the Indianapolis site will add lipid nanoparticle, liposome, and PEGylated protein capabilities, also including aseptic fill/finish.
“With high demand for bioconjugates and viral vectors, the acquired sites will strengthen our ability to support customers from innovation to launch and commercial supply,” Wienand added, in the press release (1). “I am particularly excited to welcome the highly experienced teams at these sites to One Lonza.”
Lonza expects the acquired business to contribute around CHF 250 million (~USD 300 million) in sales over the course of 2028 and anticipate the sites will deliver significant, profitable growth over time as capacity is used and expanded in line with market demand.
This latest acquisition comes shortly after Lonza revealed plans to scale up bioconjugation manufacturing capabilities at its Visp facility in Switzerland. The investment combines upgrades to existing mid-scale manufacturing suites with a new large-scale commercial facility (2).
By 2027, Lonza plans to convert existing mid-scale bioconjugation suites into a standardized single-use platform with 500-liter capacity. The upgrade is designed to support faster product onboarding, greater scheduling flexibility and more efficient changeovers across customer programs.
A new large-scale bioconjugation facility is also under construction at Visp, including three multiproduct suites for cytotoxic and non-cytotoxic products, with stainless-steel and single-use manufacturing at scales of up to 3,000 liters. The capacity is expected to be operational from 2028.
References
1. Lonza. Lonza Signs Agreement to Acquire US CDMO Network from Merck KGaA, Darmstadt, Germany, and Significantly Expands its US Presence. Press Release, Nov. 3, 2026.
2. Lonza. Lonza Further Expands Bioconjugation Manufacturing to Support Growing ADC Demand. Press Release, Oct. 29, 2026.
