Lonza has signed an agreement to acquire the Genentech manufacturing facility in Vacaville, California from Roche for $1.2 billion, as demand for biologics capacity continues to surge in the CDMO sector.
The cash purchase will increase Switzerland-based Lonza’s large-scale biologics manufacturing capacity for mammalian therapies and significantly extend the presence of its facility network in the U.S.
According to Lonza, the Vacaville facility currently has a total bioreactor capacity of around 330,000 liters, making it one of the largest biologics manufacturing sites in the world by volume. Lonza intends to invest ~$562.3 million in additional CAPEX to upgrade the facility and meet demand for the next generation of mammalian biologics therapies.
Under the agreement, approximately 750 Genentech employees at the Vacaville facility will be offered employment by Lonza. Lonza says it plans to honor Roche's current manufacturing agreements at the plant, phasing out over time as the site transitions to serve alternative customers.
