has entered a manufacturing agreement with Swiss drug company
for its blockbuster cancer treatment Avastin.
Under the agreement, Lonza will purchase Genentech's manufacturing facility in Porrino, Spain, for $150 million. Lonza will retain the plant's 310 employees and continue to produce Avastin for Genentech at the location.
At the same time, certain Genentech products will be manufactured at a Lonza facility currently under construction in Singapore. Genentech will also have an exclusive option to buy the Lonza facility in Singapore.
Genentech's shares added 2.1% to $83.95.