Pharmaceutical company to lay off 275 in Libertyville
Swiss pharmaceutical company Novartis announced it will be closing its gene therapy manufacturing facility in Libertyville in a move that will affect about 275 workers.
"Following a comprehensive manufacturing site network evaluation, Novartis made the difficult decision to cease operations at the gene therapies manufacturing facility" in Libertyville, the company said in a statement.
Novartis develops gene therapies for the treatment of rare and life-threatening neurological genetic diseases, according to the company website.
The Basel, Switzerland-based company said the Libertyville site is expected to remain operational through the end of 2023, although some activities will end earlier and others will take the full time to complete.
Operations to make, test and release Zolgensma (trademark symbol) will be consolidated in Durham, North Carolina, according to the statement. Zolgensma is used to treat children with spinal muscular atrophy, according to the company.
Gene therapies and "advanced platforms" still are expected to play an increasingly important role in years to come, the company said.
"However, our most recent network assessment - along with clarified demand expectations and higher-yields through process improvements - show that we can meet current and anticipated global demand for Zolgensma and future gene therapies through a single site," the statement said.
"Consolidating our manufacturing footprint will enable us to focus additional resources toward progressing our pipeline to deliver innovative medicines to patients in other rare disease communities," the statement said.
The company said its office in Bannockburn, where about 100 people work, will remain open.
In August, The Associated Press reported Novartis planned to spin off its generics subsidiary Sandoz, which generated nearly $10 billion in revenue last year.
Novartis, which makes a vast array of drugs including cancer treatment Gleevec and Diovan for hypertension, says it wants to focus on its core innovation business that is built around therapeutics and technology, such as gene and cell therapy, according to The Associated Press.