Lilly breaks ground in Houston, one of ten U.S. manufacturing sites announced since 2020

Lilly’s new $6.5 billion Houston API facility expands U.S. manufacturing capacity while adding hundreds of high‑wage jobs and funding local workforce training.

Rhea-AI Summary

Eli Lilly (LLY) has broken ground on a new $6.5 billion manufacturing site in Houston, Texas, announced on Sept. 21, 2026, to produce active pharmaceutical ingredients (API) for medicines including Foundayo (orforglipron).

The facility is part of Lilly’s $50 billion U.S. reshoring initiative and is one of ten U.S. manufacturing sites announced since 2020, including five API plants. The Houston site will focus on Foundayo, Lilly’s first synthetic oral GLP‑1 medicine for chronic weight management, as well as other small‑molecule medicines and advanced therapeutics such as oligonucleotides.

The site is expected to create more than 600 high‑wage permanent jobs and about 4,000 construction jobs. Lilly will provide $12.5 million to San Jacinto College for workforce training infrastructure and $2.5 million in scholarships, and plans to run the facility with digitally integrated, AI‑enabled manufacturing systems.

Positive

• $6.5 billion capital investment in new Houston API manufacturing site
• More than 600 expected high‑wage permanent jobs plus 4,000 construction jobs
• $50 billion total U.S. reshoring manufacturing program since 2020
• $12.5 million committed for San Jacinto College workforce training facilities and pathways
• $2.5 million charitable donation for San Jacinto College Foundation scholarships
• Ten U.S. manufacturing sites announced since 2020, including five API facilities

Negative

• None.

Market Context

LLY's 0.04% pre-publication move was recorded before the Houston groundbreaking; the supplied market...

Analysis

LLY's 0.04% pre-publication move was recorded before the Houston groundbreaking; the supplied market data therefore did not measure a reaction to this facility announcement.

Key Figures

Houston site investment: $6.5 billion Reshoring investment push: $50 billion Workforce support: $12.5 million +3 more

Houston site investment

$6.5 billion

Houston manufacturing site

Reshoring investment push

$50 billion

U.S. medicine production program

Workforce support

$12.5 million

San Jacinto College talent pipeline and training center

Charitable donation

$2.5 million

San Jacinto College Foundation scholarships

New facility jobs

more than 600 jobs

Houston manufacturing facility

Construction jobs

4,000 construction jobs

During site construction and commissioning

Key Terms

active pharmaceutical ingredients, GLP-1 receptor agonist, small molecule, oligonucleotides, +1 more

5 terms

active pharmaceutical ingredients technical

"New facility will manufacture active pharmaceutical ingredients for medicines like Foundayo"

The active pharmaceutical ingredient (API) is the specific chemical or biological substance in a medicine that produces the intended health effect — the ‘engine’ that treats, prevents or diagnoses a condition. Investors watch APIs because they determine a drug’s cost, quality, regulatory approval and patent protection; shortages, manufacturing problems or competition at the API level can directly affect a drug maker’s sales and valuation.

GLP-1 receptor agonist medical

"Foundayo is a GLP-1 receptor agonist approved in the U.S. for weight management"

A GLP-1 receptor agonist is a medicine that mimics a natural gut hormone to trigger insulin release, slow stomach emptying, and curb appetite — like using a key to turn on a lock that controls blood sugar and hunger signals. For investors, these drugs matter because they treat common conditions such as diabetes and obesity, can drive large prescription and sales growth, reshape healthcare costs, and heavily affect drug pipelines, competition and company valuations.

small molecule technical

"It is a small molecule rather than a peptide"

A small molecule is a low-weight chemical compound that can enter cells easily and interact with specific proteins or biological pathways to change how they work, much like a small key fitting into a lock. Investors care because small molecules are a common and often faster route to develop medicines, can be manufactured at scale, and may offer clearer regulatory and commercial paths compared with larger biologic therapies, affecting potential costs, timelines and returns.

oligonucleotides medical

"This will include oligonucleotides, a class of medicines that can work at the genetic level"

Short strands of DNA or RNA designed to bind specific genetic sequences, oligonucleotides act like targeted messages that can turn genes on or off, block harmful proteins, or help detect disease. For investors, they matter because they represent a class of therapeutic and diagnostic products with potential for highly specific treatments, large market value, and distinct development, manufacturing and regulatory risks that can drive big gains or setbacks depending on clinical success and approval.

pharmacokinetics medical

"Effect of Food Consumption on the Pharmacokinetics, Safety, and Tolerability"

Pharmacokinetics is the study of how a substance, such as a drug or chemical, moves through and is processed by the body over time. It tracks how it is absorbed, distributed, broken down, and eventually eliminated. For investors, understanding pharmacokinetics helps gauge the effectiveness, safety, and potential risks of new medications or treatments, which can influence a company’s success and valuation in the healthcare industry.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

New facility will manufacture active pharmaceutical ingredients for medicines like Foundayo (orforglipron), strengthening domestic supply chain

Site will employ more than 600 people in high-wage jobs

$12.5 million in support to build talent pipeline, workforce training center with San Jacinto College

HOUSTON, Sept. 21, 2026 /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) broke ground today in Houston, Texas, one of ten U.S. manufacturing sites — and fifth location to produce domestic active pharmaceutical ingredients (API) — announced since 2020. As part of the company's $50 billion push to reshore medicine production to meet growing demand at home and export American-made medicines to people around the world, the $6.5 billion Houston site will manufacture Foundayo (orforglipron), Lilly's first synthetic oral GLP-1 medicine, along with other small-molecule medicines and advanced therapeutics.

Foundayo is a GLP-1 receptor agonist approved in the U.S. for weight management in adults with obesity, or adults with overweight and a weight-related condition. It is a small molecule rather than a peptide; small molecules are manufactured using more well-established technologies and therefore can be more readily scalable. Foundayo is currently under regulatory review in more than 40 countries, with a full global rollout targeted for 2027. Lilly is also studying Foundayo for other uses, including type 2 diabetes and obstructive sleep apnea, with data expected later this year.

David A. Ricks, Lilly Chair and CEO: "We are thrilled to break ground on our latest 'medicines made in America' site in the great state of Texas. This $6.5B investment will help change the game for tens of millions of people suffering from overweight, obesity and its consequences like diabetes. We will make and ship Lilly's latest products from Texas to people here at home and around the world."

Building a talent pipeline in Houston
Lilly is providing $12.5 million to support a relationship with San Jacinto College to give Houstonians a pathway into advanced chemical synthesis manufacturing careers, with no prior experience required. This relationship will focus on developing training pathways and expanding the equipment and facility capacity needed to produce technicians, operators, maintenance professionals, and other manufacturing talent, while also leveraging Lilly experts to support curriculum development and instructor readiness and preparation. Separately, Lilly is providing a $2.5 million charitable donation to the San Jacinto College Foundation to support scholarships for eligible students.

Lilly is currently hiring in Houston and expects the new facility to create more than 600 high-wage jobs like engineers, scientists, operations personnel, and lab technicians — along with 4,000 construction jobs as the site is being built and brought online. Visit the Lilly Houston career page for open positions or join Lilly's talent community for future opportunities.

Edgardo Hernandez, Executive Vice President and President of Lilly Manufacturing Operations: "When you invest in a place like Houston, you invest in its people first. This facility will run on the talent of this community, powered by our relationship with San Jacinto College. We're hiring across the greater Houston area to help residents build careers close to home. The facility itself is being built to the highest standards for safety, quality and responsible stewardship of the environment, and every one of these jobs helps bring innovative medicines to the patients counting on them."

In addition to Foundayo, the Houston site will focus on advanced therapeutics that were not within reach even a few years ago. This will include oligonucleotides, a class of medicines that can work at the genetic level to switch off the production of specific proteins to treat disease closer to its source.

Texas Governor Greg Abbott: "Texas is the global hub for life sciences. This $6.5 billion Lilly investment in Houston is the largest active pharmaceutical ingredient project in Texas history and will create more than 600 high-wage jobs, right here in Texas. Texas will produce these medicines at home so we can deliver life-changing treatments to millions of Americans."

Producing this pipeline of medicines at scale requires manufacturing capacity built to match the pace of innovation. Lilly has announced ten U.S. sites since 2020:

• Five will produce API
  • Richmond, Virginia; Huntsville, Alabama; Houston, Texas; and two sites in Lebanon, Indiana – Lebanon API and Lilly Medicine Foundry, which will also focus on new production methods and making medicines for clinical trials

• Four will make injectable medicines and manufacture devices
  • Research Triangle Park and Concord, North Carolina; Kenosha, Wisconsin; and Lehigh Valley, Pennsylvania

• One will make genetic medicines, Lebanon Advanced Therapies

The Houston site will use state-of-the-art technologies, including machine learning, AI, digitally integrated systems and advanced data analytics to drive right-first-time execution. Digital automation will be embedded throughout the site to streamline operations and ensure a reliable supply of safe, high-quality medicines.

Additional quotes for media use
Dr. Brenda Hellyer, Chancellor of San Jacinto College: "Eli Lilly's manufacturing investment in Generation Park is a tremendous opportunity for the Houston region. San Jacinto College is proud to work with Lilly to develop the skilled workforce needed to support the growth of biopharmaceutical manufacturing. Together, we will expand industry-informed education and hands-on training pathways that prepare students and incumbent workers with the technical skills these advanced manufacturing careers require. This relationship will build a strong, sustainable talent pipeline for Lilly while creating meaningful, high-demand career opportunities across our region."

For media use:

• Foundayo™ (orforglipron) Digital Media Kit 

About Foundayo™ (orforglipron)
Foundayo™ (orforglipron) is FDA-approved for adults with obesity, or some adults with overweight who also have weight-related medical problems, to reduce excess body weight and maintain weight reduction long term, alongside a reduced-calorie diet and increased physical activity. Foundayo is a once-daily small molecule (non-peptide) oral glucagon-like peptide-1 receptor agonist that can be taken any time of the day with no planning around food or drink.² Orforglipron was discovered by Chugai Pharmaceutical Co., Ltd. and licensed by Lilly in 2018. In addition to chronic weight management, orfoglipron is being studied as a potential treatment for type 2 diabetes, obstructive sleep apnea, osteoarthritis knee pain, hypertension, peripheral artery disease and stress urinary incontinence.

INDICATION AND SAFETY SUMMARY WITH WARNINGS
Foundayo™ (fown-DAY-oh) is a prescription medicine used with a reduced-calorie diet and increased physical activity to help adults with obesity, or some adults with overweight who also have weight-related medical problems, to lose excess body weight and keep the weight off.

• Foundayo should not be used with other GLP-1 receptor agonist medicines.

• It is not known if Foundayo is safe and effective for use in children.

Warnings — Foundayo may cause tumors in the thyroid, including thyroid cancer. Watch for possible symptoms, such as a lump or swelling in the neck, hoarseness, trouble swallowing, or shortness of breath. If you have any of these symptoms, tell your healthcare provider.

• Do not use Foundayo if you or any of your family have ever had a type of thyroid cancer called medullary thyroid carcinoma (MTC).

• Do not use Foundayo if you have Multiple Endocrine Neoplasia syndrome type 2 (MEN 2).

• Do not use Foundayo if you have had a serious allergic reaction to orforglipron or any of the ingredients in Foundayo.

Foundayo may cause serious side effects, including:
Inflammation of the pancreas (pancreatitis). Stop taking Foundayo and call your healthcare provider right away if you have severe pain in your stomach area (abdomen) that will not go away, with or without nausea or vomiting. Sometimes you may feel the pain from your abdomen to your back.

Severe stomach problems. Stomach problems, sometimes severe, have been reported in people who use Foundayo. Tell your healthcare provider if you have stomach problems that are severe or will not go away.

Dehydration leading to kidney problems. Diarrhea, nausea, and vomiting may cause a loss of fluids (dehydration), which may cause kidney problems. It is important for you to drink fluids to help reduce your chance of dehydration. Tell your healthcare provider right away if you have nausea, vomiting, or diarrhea that does not go away.

Low blood sugar (hypoglycemia). Your risk for getting low blood sugar may be higher if you use Foundayo with medicines that can cause low blood sugar, such as an insulin or sulfonylurea. Signs and symptoms of low blood sugar may include dizziness or light-headedness, sweating, confusion or drowsiness, headache, blurred vision, slurred speech, shakiness, fast heartbeat, anxiety, irritability, mood changes, hunger, weakness, or feeling jittery.

Serious allergic reactions. Stop using Foundayo and get medical help right away if you have any symptoms of a serious allergic reaction, including swelling of your face, lips, tongue or throat, problems breathing or swallowing, severe rash or itching, fainting or feeling dizzy, or very rapid heartbeat.

Changes in vision in patients with type 2 diabetes. Tell your healthcare provider if you have changes in vision during treatment with Foundayo.

Gallbladder problems. Gallbladder problems have happened in some people who use Foundayo. Tell your healthcare provider right away if you get symptoms of gallbladder problems, which may include pain in your upper stomach (abdomen), fever, yellowing of skin or eyes (jaundice), or clay-colored stools.

Food or liquid getting into the lungs during surgery or other procedures that use anesthesia or deep sleepiness (deep sedation). Foundayo may increase the chance of food getting into your lungs during surgery or other procedures. Tell your healthcare providers that you are taking Foundayo before you are scheduled to have surgery or other procedures.

Common side effects
The most common side effects of Foundayo include nausea, constipation, diarrhea, vomiting, indigestion, stomach (abdominal) pain, headache, swollen belly, feeling tired, belching, heartburn, gas, and hair loss. These are not all the possible side effects of Foundayo. Talk to your healthcare provider about any side effect that bothers you or doesn't go away.

Tell your doctor if you have any side effects. You can report side effects at 1-800-FDA-1088 or www.fda.gov/medwatch.

Before taking Foundayo

• Tell your healthcare provider about all the medicines you take. Foundayo may affect the way some medicines work, and some medicines may affect the way Foundayo works.

• Pregnancy Exposure Registry: There will be a pregnancy exposure registry for women who have taken Foundayo during pregnancy. The purpose of this registry is to collect information about the health of you and your baby. Talk to your healthcare provider about how you can take part in this registry, or you may contact Eli Lilly and Company at 1-800-LillyRx (1-800-545-5979).

• If you take birth control pills by mouth, talk to your healthcare provider before you take Foundayo. Birth control pills may not work as well while taking Foundayo. Your healthcare provider may recommend another type of birth control for 30 days after starting Foundayo and for 30 days after each dose increase of Foundayo.

• Talk to your healthcare provider about low blood sugar and how to manage it. Tell your healthcare provider if you are taking medicines to treat diabetes including an insulin or sulfonylurea.

Review these questions with your healthcare provider:

• Do you have other medical conditions, including problems with your pancreas or kidneys, or severe problems with your liver, severe problems with your stomach, such as slowed emptying of your stomach (gastroparesis) or problems digesting food?
• Do you have a history of diabetic retinopathy?
• Are you scheduled to have surgery or other procedures that use anesthesia or deep sleepiness (deep sedation)?
• Are you pregnant or plan to become pregnant? Foundayo may harm your unborn baby.
• Are you breastfeeding or plan to breastfeed? Breastfeeding is not recommended during treatment with Foundayo.
• Do you take any other prescriptions or over-the-counter medicines, vitamins, or herbal supplements?

How to take

• Take Foundayo exactly as your healthcare provider tells you to.

• Use Foundayo with a reduced-calorie diet and increased physical activity.

• Take Foundayo by mouth 1 time each day, with or without food.

• Swallow tablets whole. Do not break, crush, or chew the tablet.

• If you miss a dose, take it as soon as possible. Do not take 2 doses of Foundayo in the same day.

• Do not take more than 1 tablet per day.

• If you miss taking Foundayo for 7 or more days in a row, call your healthcare provider to talk about how to restart your treatment.

• If you take too much Foundayo, call your healthcare provider or Poison Help line at 1-800-222-1222 or go to the nearest hospital emergency room right away.

Learn more
Foundayo is a prescription medicine available in 0.8 mg, 2.5 mg, 5.5 mg, 9 mg, 14.5 mg, or 17.2 mg oral tablets. For more information, call 1-800-545-5979 or go to foundayo.lilly.com.

This summary provides basic information about Foundayo but does not include all information known about this medicine. Read the information that comes with your prescription each time your prescription is filled. This information does not take the place of talking with your doctor. Be sure to talk to your doctor or other healthcare provider about Foundayo and how to take it. Your doctor is the best person to help you decide if Foundayo is right for you.

OG CON BS APR2026

Foundayo^™ is a trademark of Eli Lilly and Company.

Endnotes
Ma X, Liu R, Pratt EJ, Benson CT, Bhattachar SN, Sloop KW. Effect of Food Consumption on the Pharmacokinetics, Safety, and Tolerability of Once-Daily Orally Administered Orforglipron (LY3502970), a Non-peptide GLP-1 Receptor Agonist. Diabetes Ther. 2024 Apr;15(4):819-832. https://doi.org/10.1007/s13300-024-01554-1. Epub 2024 Feb 24. PMID: 38402332; PMCID: PMC10951152.

About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for nearly 150 years, a nd today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. C-LLY

Trademarks and Trade Names
All trademarks or trade names referred to in this press release are the property of the company, or, to the extent trademarks or trade names belonging to other companies are referenced in this press release, the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that the company or, to the extent applicable, their respective owners will not assert, to the fullest extent under applicable law, the company's or their rights thereto. We do not intend the use or display of other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of us by, any other companies.

Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995), including about planned capital investments in new manufacturing capacity, production and delivery of advanced therapies and medicines, including Foundayo, hiring and related initiatives and the economic impact thereof and reflects Lilly's current beliefs and expectations. However, as with any such undertaking, there are substantial risks and uncertainties in the manufacturing process, development and commercialization of pharmaceutical products any of which could impact the overall commercial success of our products, and as related to cost, completion timing, expected capacity, personnel, and other factors which could impact expected benefits of the capacity expansion and related initiatives. For further discussion of risks and uncertainties relevant to Lilly's business that could cause actual results to differ from Lilly's expectations, see Lilly's Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release.   

Refer to:	Erica Hiquet; erica.hiquet@lilly.com (Media)
	Michael Czapar; czapar_michael_c@lilly.com (Investors)

View original content to download multimedia:https://www.prnewswire.com/news-releases/lilly-breaks-ground-in-houston-one-of-ten-us-manufacturing-sites-announced-since-2020-302885255.html

SOURCE Eli Lilly and Company

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What will the Houston facility manufacture besides Foundayo?

The Houston site will produce active pharmaceutical ingredients for Foundayo and other small‑molecule medicines, and will also focus on advanced therapeutics, including oligonucleotides that act at the genetic level to affect specific protein production.

How is Lilly partnering with San Jacinto College for workforce development?

Lilly is providing $12.5 million to San Jacinto College to develop training pathways, expand equipment and facility capacity, and involve Lilly experts in curriculum development and instructor preparation for advanced chemical synthesis manufacturing roles. A separate $2.5 million donation to the San Jacinto College Foundation will fund scholarships for eligible students.

What types of roles is Lilly hiring for at the Houston site?

Lilly expects to hire more than 600 employees in roles such as engineers, scientists, operations personnel, maintenance professionals, technicians, and lab staff, in addition to around 4,000 construction jobs during the build‑out and commissioning of the site.

What advanced technologies will be used at the Houston manufacturing site?

The facility is being designed with state‑of‑the‑art technologies, including machine learning, artificial intelligence, digitally integrated systems, advanced data analytics, and broad digital automation to support right‑first‑time execution and a reliable supply of safe, high‑quality medicines.