At a Glance
- Company: Charles River Laboratories
- Location: Hanover, Maryland, USA
- Main headline: 20 layoffs; closure by Q2 2026
- Focus area: Cell therapy CDMO operations
- Next steps: Transition client work to other sites
What happened?
Charles River Laboratories announced plans to close its cell therapy contract development and manufacturing (CDMO) facility in Hanover, Maryland, affecting 20 employees. The decision, detailed in a WARN notice, stems from a strategic review deeming the site not a core fit, with client work transitioning to other Charles River facilities by Q2 2026.
Why does it matter?
The closure reflects broader CDMO pressures amid biotech funding slowdowns and pipeline reprioritisations, part of Charles River’s cost‑saving measures targeting $70m annual savings by 2026 through divesting non‑core assets (7% of 2025 revenue). It signals consolidation in cell/gene therapy manufacturing as demand stabilises post‑peak.
Who’s behind it?
Charles River, a major CRO/CDMO, continues restructuring under incoming CEO Birgit Girshick (effective May 2026), including prior Wilmington, MA cuts (70 jobs). The firm supports affected staff with relocation opportunities where possible.
How was it achieved?
Strategic assessment identified the Hanover site as underutilised; operations shift to optimised network, aligning with focus on high‑growth areas like NAMs and NHP supply.
What’s next?
Complete client transitions by mid‑2026; ongoing portfolio review may yield further adjustments amid CEO transition and investments in AI/automation.
What are people saying?
Spokesperson: “Thoughtful review… transitioning client work to other facilities.” Girshick: CDMO on “holding back pattern” amid challenges.