The Dundalk site provides drug substance and product manufacturing, as well as quality control capabilities. Credit: Comezora via Getty Images.

WuXi Biologics subsidiary WuXi Vaccines has agreed to sell its vaccine manufacturing facility in Dundalk, Ireland, to MSD for approximately $500m.

Expected to close in the first half of 2025, the deal follows a series of moves by WuXi Biologics to sell off sites in the US and Europe as the prospect of the Biosecure Act is deterring potential clients. The legislation seeks to limit Chinese companies’ access to US funding and collaborations, citing national security concerns.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The Biosecure Act prospects, however, have reduced recently as it was notably excluded from the FY 2025 Defense Authorization Act. The Biosecure Act passed in the US House of Representatives in September 2024 but has yet to make it through the Senate. If it becomes law, it will prohibit US federal funding for services provided by affected biotechnology companies such as WuXi AppTec.

The Dundalk facility, which WuXi Biologics built in 2019 for $240m, became operational in 2021 and currently employs 200 staff. The site provides drug substance and product manufacturing, as well as quality control capabilities.

MSD, a long-term partner at the facility, plans to expand its workforce, adding 150 employees to the site by the end of this year, according to Ireland’s Foreign Direct Investment Agency (IDA). Proceeds from the sale will be used for share buybacks, said WuXi Biologics CEO Chris Chen in the announcement accompanying the sale.

WuXi Biologics and WuXi AppTec started discussing the potential sale of some of their manufacturing units last year, as per a news report from the Financial Times. This sale follows broader moves by WuXi affiliates to divest assets in the West, including WuXi AppTec’s December 2024 sale of its US and UK cell and gene therapy business Advanced Therapies to private equity company Altaris.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Critics argue the legislation could disrupt pharmaceutical supply chains and slow research and development efforts. WuXi Biologics – with one of the world’s largest biologics manufacturing networks – is a key partner for major pharmaceutical companies, amplifying concerns about potential industry-wide impacts. According to a report on GlobalData’s Pharma Intelligence Centre, there is reduced optimism for pharmaceutical growth this year, which may stem from the potential impact of the Biosecure Act.

GlobalData is the parent company of Pharmaceutical Technology.