Large Bay Area Genentech facility purchased by Swiss firm
Vacaville’s Genentech facility, one of the largest biotech facilities in the nation, has been purchased by the Swiss firm Lonza, securing the jobs of 750 people currently working at the site. Lonza will also invest 500 Million Swiss Francs into the Vacaville plant to modernize
“The acquisition will significantly increase Lonza’s large-scale biologics manufacturing capacity to meet demand for commercial mammalian contract manufacturing from customers with existing commercial products, and molecules currently on the path to commercialization within the Lonza network,” a press release from the company reads. “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.”
Genentech, regarded as the world’s first biotechnology company, has been operating a manufacturing facility at 1000 New Horizons Way since 1998. The facility spans more than 427,000 square feet including manufacturing, maintenance, laboratories, office space and warehousing.
“The Vacaville site is a highly valuable strategic acquisition that will make capacity immediately available for our customers and unlock future growth for our Biologics division,” president of biologics Jean-Christophe Hyvert said. “It will support us in providing a commercialization path to existing customers and incremental large-scale commercial capacity to our partners. We have deep and long-standing industrial expertise in delivering commercial scale manufacturing services for our customers’ therapies. In combining this with the strong legacy of the Vacaville facility, its highly skilled colleague community and its proven track record on quality, we are excited to take our leading large-scale mammalian offering to its next chapter of growth.”
Other Lonza facilities are currently operational in Visp Switzerland, Slough United Kingdom, Portsmouth New Hampshire, Singapore and Porrino Spain.
“It is an exciting time for biotechnology and biomanufacturing in Vacaville,” Mayor John Carli said. “The acquisition of the Genentech manufacturing facility by Lonza marks a new chapter in our city’s history. We’re thrilled to welcome Lonza and its commitment to maintaining employment for the 750 dedicated employees at the facility.”
Carli appreciated the relationship between Vacaville and Genentech over the years, and looked forward to continuing to growing the biotech sector in the city. While announcements have slowed due to uncertain economic headwinds, he said, the city remains bullish on expansion in that arena.
“Looking ahead, we are excited about the continued growth and innovation that Lonza will bring to Vacaville,” Carli said. “Their partnership with Genentech ensures that the legacy of life-changing medicine production will endure, providing hope and healing to patients for years to come. This is a testament to the strength and resilience of our community, and we eagerly anticipate the bright future ahead.”
City staff worked hard to help the two companies iron out details of the deal, he said, and the investment from Lonza will help the site reach it’s full capacity. This development will make Vacaville one of the nation’s foremost leaders in the sector, Carli said, particularly the addition of live space labs.
Roche, Genentech’s parent company, announced that they were happy to reach an agreement where so many current employees could remain employed.
“We decided to divest our Vacaville site as part of our long-term network strategy and optimisation plan, to deliver a more diversified portfolio including new drug modalities,” Susanne Hundsbaek-Pedersen, Global Head of Pharma Technical Operations for Roche said. “Having gone through a competitive diligence process with multiple potential strategic partners for the facility, we believe that Lonza is the ideal owner for the Vacaville site to continue producing innovative medicines for patients in need. We are particularly pleased that the employees at the site will be offered employment by Lonza.”