On November 3, 2026, Merck KGaA agreed to sell its CDMO business to Lonza, exiting those operations. The deal covers five U.S. sites and about 1,100 employees.
The facilities are in Carlsbad, California; Madison and Verona, Wisconsin; St. Louis, Missouri; and Indianapolis, Indiana. Their capabilities include bioconjugates, high-potency payload-linkers, viral vectors, and advanced drug delivery.
Lonza will expand its U.S. CDMO network from four sites to nine. It expects the acquired business to generate about CHF 250 million in sales in 2028; its initial core EBITDA margin is expected to be below Lonza’s group level.
The companies described the deal value as a mid-triple-digit-million amount—Merck cited euros, while Lonza’s announcement used Swiss francs. Closing is expected in mid-2027, subject to customary approvals and conditions.
Merck’s BioReliance contract testing business is excluded and will remain with Merck. Until closing, the CDMO business will continue operating within Merck’s Life Science sector.
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