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Lonza sells processing plant in Quakertown, Pa.

| By Mary Bailey

Lonza AG (Basel, Switzerland) announced an agreement for the sale of its Quakertown, Pa. site to a group of industry veterans and investors. The agreement is subject to relevant conditions. The financial terms of the transaction were not disclosed.

The Quakertown (US) site employs approximately 45 employees and focuses on particle size reduction and control services for drug substances and excipients. The site consists of two individual buildings and supporting infrastructure, including nine cGMP suites, two developmental suites and phase-appropriate equipment for particle size reduction from early development through to commercial supply. Upon closing, the Quakertown business will become an independent company called Microsize. It will be supported by an investor group led by Derek Hennecke and TJ Higley.

Derek Hennecke and TJ Higley commented on behalf of Microsize: “Microsize will have a dedicated focus on delivering the best particle size reduction solution for the smallest biotech company all the way through to the largest pharmaceutical businesses. We have gathered a team of experienced CDMO investors, such as Mark Bamforth, founder of Brammer Bio and Arranta Bio, and Bill Mitchell, the founder of PCI Pharma Services, to provide much more than financial capacity. All our investors come from the CDMO industry and will be active in its support. We look forward to continuing to drive investment in manufacturing efficiencies and capacity expansion as an independent company.”

Christian Dowdeswell, Vice President, Head of Commercial Development, Small Molecules, Lonza, added: “With their industry experience and knowledge of the Quakertown business, the Microsize leadership team is the ideal buyer to build on the site’s two decades of experience with particle-size control technologies. As the business begins a new chapter, we are confident that the site’s capabilities in milling and micronization will be of great advantage to Microsize’s offering. Both our companies will focus on providing a smooth transition for employees and customers.”

Micronization and jet milling services will continue to be delivered from Lonza’s Monteggio (CH) site as part of Lonza’s Particle Engineering suite of services.