Biopharmaceutical firm Bristol Myers Squibb entered into an agreement to sell its Couvet, Switzerland manufacturing facility for tablets and capsules to Shanghai-based CDMO WuXi STA, a subsidiary of WuXi AppTec, the companies announced in a joint release Tuesday.

“The Couvet site is a world-class facility designed for quality, safety, and efficiency, and we believe WuXi STA will be able to leverage the capacity and capabilities for its own operations as it continues to play a vital role for patients around the world,” Lou Schmukler, executive vice president and president, Global Product Development and Supply for Bristol Myers Squibb, said in a statement. “This is an important step in the ongoing evolution of our manufacturing network to support our product portfolio.”

Bristol Myers Squibb will retain a position in Switzerland with its presence in the Neuchâtel area. The transaction is expected to reach completion in the second quarter of this year pending the completion of regulatory approvals and other closing conditions. WuXi will acquire the facility’s operations and assets, including the plant and its equipment.

“We are pleased to add the Couvet manufacturing facility to our growing global manufacturing site network and look forward to working with the talented team who share our focus on excellence and a patient-centered approach,” Dr. Minzhang Chen, the CEO of WuXi STA said in the release. “The acquisition will allow WuXi STA to better serve European markets and support our global customers to deliver innovative medicines and treatments to patients around the world.”

The release did not include the financial terms of the transaction.