We have encapsulated indomethacin into poly (lactide-co-glycolide) (PLGA) using coaxial ultrasonic atomization technique. The specific aims of this study were to evaluate the effect of drug loading and a change in relative concentration of polymer in the inner and outer layers of coflowing spray liquids on the physicochemical characteristics of the particles. Indomethacin, a non steroidal anti-inflammatory drug, was selected as a model compound. The micro/nanocapsules prepared using a drug free PLGA solution as an outer layer showed higher encapsulation efficiency. Thermal analysis of the formulations indicated that indomethacin was dissolved within the PLGA matrix. The formulations prepared with 25 mg indomethacin showed relatively smaller particle size compared with the formulations prepared with 50 mg indomethacin. The particles, in general, showed bi- and tri-modal distribution. Irrespective of the compositions of the liquids 1 and 2, all the particles were smooth and spherical. A cross-section view of the particles revealed the presence of three different internal morphologies. These formulations were a mixture of hollow or solid spheres, and single or multiple spheres encapsulated into a larger sphere. To the best of our knowledge, this is the first study revealing the cross-sectional view of particles prepared with coaxial ultrasonic atomization technique.