Novo Nordisk is cutting hundreds of jobs at a key US manufacturing facility it acquired from Catalent, underscoring ongoing challenges at the site even as the company continues to invest in its production network.
Novo Nordisk plans to lay off around 400 employees at its Bloomington, Indiana, site beginning in May 2026, representing roughly one-fifth of the workforce, according to reporting by BioSpace.
Following the cuts, about 1,400 employees will remain at the facility, which plays a role in manufacturing components for the company’s blockbuster GLP-1 drugs, including Ozempic and Wegovy.
The company said it will provide severance and transition support to affected workers, while emphasizing that it remains committed to the site long term.
The Bloomington facility has faced years of instability, including multiple rounds of layoffs under Catalent ownership prior to Novo’s takeover.
Related: FDA Flags cGMP Deficiencies at Former Catalent Site Now Owned by Novo Nordisk
Novo Nordisk gained control of the plant through its parent company’s $16.5 billion acquisition of Catalent in 2024, part of a broader strategy to secure manufacturing capacity amid soaring demand for GLP-1 therapies.
However, the transition has not been smooth. The site has been plagued by manufacturing and quality issues, including FDA scrutiny and warning letters tied to deficiencies such as contamination controls and investigation practices.
These problems have had ripple effects across the industry, contributing to regulatory setbacks and delays for companies relying on the plant for contract manufacturing, including Regeneron, Incyte and Scholar Rock.
Despite these challenges, there are indications that operations at the Bloomington site are stabilizing. Some customers like Scholar Rock have resumed routine manufacturing, and interactions with regulators have reportedly improved in recent months.
At the end of March, Scholar Rock also resubmitted its BLA to the FDA for its spinal muscular atrophy (SMA) treatment apitegromab after an earlier rejection linked to manufacturing issues at Catalent. The resubmission includes a second manufacturing site, with a potential decision expected by late September 2026.
The cuts also come against the backdrop of a wider restructuring effort at Novo Nordisk, which previously announced plans to eliminate thousands of roles globally as it adapts to slowing growth and intensifying competition in the obesity and diabetes markets.
For Novo Nordisk, the Bloomington facility remains strategically important to its US manufacturing footprint. The company has reiterated that it will continue to invest in the site even as it reduces headcount.
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