Lonza cleared to acquire Capsugel in $5.5 billion deal

pharmafile | June 28, 2017 | News story | Manufacturing and Production, Research and Development, Sales and Marketing Capsugel, Lonza, acquisition 

Swiss pharmaceutical manufacturer Lonza has announced that it has been cleared to proceed with its $5.5 billion acquisition of New Jersey-based Capsugel, and expects the process to complete in the next few days.

The deal was originally announced back in December. Lonza announced the news with a filing on the Swiss SIX Exchange, stating: “All regulatory approvals required have now been obtained. These approvals include, among others, the US and EU. All approvals were without any requirements for divestments, and without and other limitations/caveats or the like. The actual closing is expected in the next few days, subject to satisfying customary closing conditions.”

According to the company, the move will enable savings across IT infrastructure, corporate and procurement and other streamlining and consolidation across the two firms, aiming for operating synergies of $30 million within three years, valuing the immediate advantages at around $100 million in total. As part of the deal, Lonza will refinance $2 billion in Capsugel debt.  

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“Capsugel will accelerate growth and deliver value along the healthcare continuum by complementing our existing offerings and by opening up new market opportunities in the pharma healthcare and nutrition industries,” Lonza stated.

Lonza currently employs around 9,800 employees across 11 sites worldwide, while Capsugel has around 3,600 and 13 facilities across three countries.

Matt Fellows

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