Swiss Bachem Invests Over $431M in 2026 to Meet Surging Global Peptide and Oligonucleotide Demand with New Facility

August 9, 2026

Pharma Manufacturing Switzerland

Overview

Bachem, a Swiss CDMO specializing in peptides and oligonucleotides, is undertaking a major manufacturing capacity expansion across its global network, investing between $431 million and $493 million in 2026 alone. This includes the inauguration of its new large-scale production facility, Building K, in Bubendorf, Switzerland, in April 2026, which is already manufacturing commercial GMP products. The company also plans a greenfield project in Sisslerfeld with over $618 million investment, driven by rapidly growing global demand for these high-value modalities.

In Depth

Key Findings

Bachem, a leading Swiss Contract Development and Manufacturing Organization (CDMO) specializing in peptides and oligonucleotides, is embarking on a substantial expansion of its global manufacturing capacity. The company has committed a significant investment of between $431 million and $493 million in 2026, including the inauguration of its new large-scale production facility, Building K, in Bubendorf, Switzerland, in April 2026, which is now actively manufacturing commercial GMP (Good Manufacturing Practice) products. This strategic move aims to address the rapidly surging global demand for these complex and high-value pharmaceutical ingredients.

Technical / Clinical Details

Bachem is a recognized pioneer in the synthesis of pharmaceutical-grade peptides and oligonucleotides, which serve as active pharmaceutical ingredients (APIs). The manufacturing of these complex molecules requires highly specialized chemical synthesis techniques and rigorous quality control. The newly operational Building K is equipped with state-of-the-art synthesis reactors, advanced purification systems, and aseptic filling capabilities, designed to support production volumes ranging from kilogram to metric ton scales. This marks a substantial shift from smaller-scale production, enabling Bachem to meet global commercial demand. Furthermore, the company has ambitious long-term plans, including a greenfield project in Sisslerfeld with an investment exceeding $618 million, anticipating even greater future demand. These investments also foster innovation and efficiency in peptide synthesis technologies (e.g., solid-phase synthesis, liquid-phase synthesis) and oligonucleotide synthesis (e.g., phosphoramidite method, enzymatic synthesis), enhancing the capacity for producing molecules with complex modifications and longer nucleic acid strands.

Background & Context

Peptide therapeutics play a crucial role in treating conditions such as diabetes (e.g., GLP-1 agonists), cancer, and autoimmune diseases, gaining increasing attention for their efficacy and target specificity. Similarly, oligonucleotide therapeutics (e.g., ASOs, siRNAs, mRNAs) are rapidly evolving as innovative modalities capable of treating diseases at the genetic level, with the market for oligonucleotide synthesis projected to reach $4.31 billion in 2026. As the pipeline for these high-value medicines expands, the demand for specialized CDMOs capable of supplying high-quality APIs at scale has dramatically increased. Bachem’s investments are critical to meeting this unmet need and strengthening the pharmaceutical supply chain. Moreover, the COVID-19 pandemic underscored the importance of stable pharmaceutical supply and regional manufacturing capabilities, making the strengthening of manufacturing bases in Europe strategically significant for geopolitical risk mitigation.

Strategic Significance & Outlook

Bachem’s substantial capacity expansion is expected to further accelerate the growth of the peptide and oligonucleotide markets. The company will solidify its position as a reliable and critical supplier of these essential APIs for major pharmaceutical and biotechnology companies worldwide. Moving forward, Bachem is anticipated to continue leading technological advancements in next-generation peptide and oligonucleotide therapeutics through ongoing R&D investments. This initiative will enable the rapid development and market entry of new treatments for diseases with high unmet needs, ultimately contributing to providing more accessible and effective medicines to patients globally. Particularly, with the sustained growth in demand for GLP-1 drugs, the enhancement of peptide manufacturing capacity holds significant strategic importance for the entire pharmaceutical industry.

Source: https://www.pharmamanufacturing.com/sector/contract-manufacturing/article/55394858/bachem-expands-capacity-to-meet-peptide-oligonucleotide-demand

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