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Lonza to expand beyond pharma with $1.2bn Arch buy


Lonza is to buy Arch Chemicals for $1.2bn (€860m) in cash to expand in microbial control and reduce reliance on its pharma CMO business.

Cancellations and delays in the pharmaceutical contract manufacturing business have affected revenues at Lonza in recent years. Buying Arch is intended broaden its client portfolio and insulate the company against fluctuations in the pharmaceutical industry.


It will allow us to expand our non-pharma life science business to achieve a well-balanced profile based upon two world leading growth businesses - pharmaceutical contract manufacturing and microbial control”, said Stefan Borgas, CEO of Lonza.

The deal is expected to close later in 2011.

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