Lonza Group AG confirmed it is in final negotiations with KKR & Co. to acquire Capsugel, a Morristown, New Jersey-based manufacturer maker of capsule products and other drug delivery systems.
Sources familiar with the matter told Reuters that a potential acquisition would be valued at more than $5 billion.
Capsugel "would fit perfectly with Lonza's Healthcare Continuum strategy and strengthen its position as leading supplier to a number of important healthcare markets," Lonza said in a statement. "A successful acquisition would be value adding and be within Lonza's stated acquisition criteria."
Lonza emphasizes that there can be no certainty as to the outcome of the discussions or whether an acquisition will be completed. More detailed information will follow in case of any significant developments.