Lonza Group stays busy making active chemical and pharmaceutical ingredients and assisting in the development and manufacture of a range of products. Its Bioscience, Life Science Ingredients, and Microbial Control segments make and sell biological research materials, nutritional ingredients, and products for hygiene and water treatment. Lonza's Custom Manufacturing unit offers outsourced production of advanced intermediates, fine chemicals, biopharmaceuticals, and active pharmaceutical ingredients used in drugs, nutritional products, and cosmetics. Global customers include pharma and biotech companies, academic and government research entities, and agricultural and industrial businesses.
Lonza operates production and research facilities around the world and markets its products from sales offices dotting the globe. Over the years Lonza has transformed itself from an industrial chemicals manufacturer into a pharmaceuticals-oriented business. While its Custom Manufacturing division continues to make organic, fine, and performance chemicals, the company's expansion efforts have put the pharma ingredient and biotechnology operations in the forefront. It maintains a joint venture with Israel-based generics company Teva to produce generic drugs. Teva supplies the global marketing machine while Lonza handles the manufacturing.
Besides making active ingredients, Lonza's Bioscience unit provides drug discovery researchers with the reagents, equipment, cell lines, and assays they need to keep busy. It maintains several manufacturing agreements with biopharmaceutical companies, including Genmab. For the nutrition industry, Lonza's Life Science division manufactures a variety of nutritional ingredients -- it is the largest manufacturer of Vitamin B3 in the world. It provides agricultural industries with nutritional supplements for feed and agrochemicals used in herbicides and insecticides. It supplies the personal care products industry with emulsifiers, preservatives, and thickeners used in cosmetics. The company's high-performance materials are used in a variety of industries, including aerospace, automotives, and electronics.
Lonza maintains manufacturing, resarch, and sales support facilities around the globe. North America is the company's largest market, followed by Europe.
Following a drop in revenue at the start of the recession, Lonza's revenues have grown steadily to some $3 billion in 2011. The company's net income has fluctuated as investment income and currencies have wobbled and bobbed.
Acquisitions have been key to Lonza's capacity expansion for each of its segments. In 2011 Lonza made a bold move by acquiring Arch Chemicals. The deal secured the company's leading position in growing fields of microbial control, including water treatment, hygiene and personal care, and building materials protection. Lonza created a new segment to hold the business, which promptly accounted for more than a quarter of 2011 sales.
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