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Lonza Expands US Footprint with Merck KGaA Manufacturing Sites Acquisition

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Lonza Group AG has announced a major expansion in the U.S. with the acquisition of five manufacturing sites from Merck KGaA. The deal, valued in the low- to mid-triple-digit millions Swiss francs, will boost Lonza’s U.S. footprint from four to nine facilities and add around 1,100 employees, increasing its total U.S. workforce to over 6,000.

The acquired sites include specialized locations in St. Louis, Madison, Verona, Carlsbad, and Indianapolis, each focusing on different biopharmaceutical capabilities. Lonza’s CEO, Wolfgang Wienand, described the acquisition as a strategic fit for the company’s One Lonza Strategy, emphasizing its potential for long-term growth and attractive returns.

The transaction is expected to generate approximately CHF 250 million in sales by full-year 2028, though with a CORE EBITDA margin below Lonza’s current group margin. The company anticipates the business will reach its future group margin level by the mid-2030s. The deal will be funded through available cash and existing credit facilities, with Lonza maintaining its BBB+ credit rating post-acquisition.

Closing is scheduled for mid-2027, subject to customary conditions. Until then, the acquired businesses will operate independently. Lonza has confirmed that its financial outlook for 2026 and its Organic Growth Model remain unchanged, and the transaction will not impact its previously announced share buyback following the divestment of its Capsules & Health Ingredients business.

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