Structuring Our Businesses Audited


In the first half of 2017, Lonza operated with two segments - Pharma&Biotech and Specialty Ingredients. When Capsugel was acquired on 5 July 2017, it remained a separate segment for the balance of the year. We adjusted our segments at the end of the year following the acquisition of Capsugel. From 1 January 2018, Capsugel has been fully integrated into Lonza's Pharma&Biotech and Specialty Ingredients segments. 

Aligning Segments for Growth

 

Lonza internal organizational structure as of 1 January 2018



To optimize growth prospects in Lonza’s segments, Capsugel’s Biopharmaceuticals business has been integrated into Lonza Pharma&Biotech while Capsugel's Consumer Health and Nutrition business joined Specialty Ingredients.

As of 1 January 2018, the Pharma&Biotech segment is operating with a Chemical Division and a Biologics Division, as well as the existing Bioscience Solutions Business Unit and a new Capsule Delivery Solutions Business Unit. The latter business unit will cover the capsules business for pharma markets. Capsugel’s dosage forms and development services have been integrated in the newly formed Dosage Forms and Delivery Systems (DFDS) Business Unit within the Chemical Division.

Specialty Ingredients began operating on 1 January 2018 in three distinct units: a Consumer Health division, a Consumer & Resources Protection division and a Water Care business unit.

The former Consumer Health and Nutrition business of Capsugel has been integrated into the existing Consumer Health and Nutrition business of Lonza’s Specialty Ingredients segment to create the new Consumer Health and Nutrition (CHN) business unit. Together with the Consumer Product Ingredients business unit, they formed the new Consumer Health division.

Coatings and Composites and Agro Ingredients are continuing to operate in their current structures under the new umbrella of a Consumer & Resources Protection division. A project already began in 2017 to create a distinctive identity and strategic pathway for these markets and value chains that we serve beyond the healthcare continuum.