September 16, 2008
Bayer HealthCare acquires
German DIREVO Biotech AG
A recognized leader in protein
Expanding technological know-how
in biologicals /
Strengthening Bayer HealthCare's
commitment to develop innovative biologicals
Bayer HealthCare AG
acquires the German biotech company DIREVO Biotech AG, Cologne. With the acquisition of
the biotech company specialized in protein engineering, Bayer
strengthens the research competence in biologicals of its
pharmaceutical division Bayer Schering Pharma. The
industrial biotechnology business of DIREVO Biotech is not subject
to the transaction. Closing of the deal of a value of 210 million Euro is projected for end of September
DIREVO Biotech's unique
and proprietary protein engineering platform uses high throughput
technologies for the rapid discovery and optimization of
The platform has already been successfully applied to a wide
range of proteins, including therapeutic antibodies and proteases
that will be added to the preclinical pipeline of Bayer Schering
September 16 2008
DIREVO Announces Sale of
its Subsidiary DIREVO Industrial Biotechnology GmbH and Series A
DIREVO Biotech AG
announced today the sale of its fully owned subsidiary DIREVO
Industrial Biotechnology GmbH that was incorporated recently for
an undisclosed cash amount to a group of investors. In addition, the new company
completed a EUR 8 million financing in the form of Series A
Preferred Stock. The participating institutions included Bankhaus
Wölbern (Hamburg) and NRW Bank (Düsseldorf) as lead investors,
TVM-Capital (Munich), Danisco A/S (Copenhagen), a Sparkasse KölnBonn (Cologne) affiliated
private equity firm, Signet Healthcare (New York), Mulligan
BioCapital (Hamburg), several private investors, including Nobel
laureate Prof. Dr. Manfred Eigen, and management.
The company focuses on Food & Feed and Biorefinery
provides solutions through discovery, development and scale up of
enzymes and strains. It develops products both independently and
with global leaders such as Danisco/Genencor and Nestlé. For example, a collaboration
with Danisco A/S has yielded a significantly improved enzyme
which is marketed as part of a Danisco/Genencor product.
DIREVO Industrial Biotechnology GmbH
DIREVO Industrial Biotechnology GmbH was formed as a spin-out from
DIREVO's industrial biotechnology business unit and
AC Biotec GmbH.
In November 2007,
DIREVO acquired AC Biotec GmbH, Jülich, Germany, a provider of
bioprocess development and contract manufacturing services to
the industrial biotechnology and pharmaceutical markets.
Established in 2001, AC Biotec offers development,
optimization and application of fermentation and downstream
processes, using both microbial and plant cell-based systems.
This includes the complete scale-up of biotechnological
processes, ranging from multi-well plates and shake flasks up
to pilot-scale stirred-tank-reactors.
September 12, 2008 Bayer
expands global production network for polyurethane dispersions
Low-VOC raw materials for high-quality, environmentally friendly
Waterborne coating and
adhesive raw materials now also from Shanghai
Bayer MaterialScience has
opened a state-of-the-art production plant at the integrated
production site in Shanghai to manufacture polyurethane
dispersions (PUD). The plant has an annual capacity of 20,000
metric tons. Bayer MaterialScience now therefore has facilities
in North America, Europe and Asia for these key raw materials for
manufacturing environmentally friendly, waterborne coating
systems and adhesives.
The production of polyurethane dispersions in Shanghai reflects
in two respects the significant increase in environmental
awareness that has also recently become evident in China. The
products in question form an important basis for
manufacturing waterborne and thus low-emission paints, coatings
and adhesives for a variety of applications. These include metal, wood and
plastic coatings, adhesives for the footwear, furniture and
automotive industries, textile and leather coatings and glass
fiber sizing. The second ecological aspect concerns the new production
This sets standards through technology that is not only
innovative and robust but also environmentally friendly and
October 17, 2008
strengthens its presence in China
Startup of 350,000 tons/year MDI train /
Groundbreaking for 250,000 tons/year TDI plant /
Isocyanate production also to be expanded in Europe in the medium
Bayer MaterialScience has
successfully started production at its new 350,000 tons/year
diphenylmethane diisocyanate (MDI) complex at the Bayer Integrated Site
Shanghai (BISS). The new world-scale plant is the largest MDI
facility of its kind in the world. Furthermore, the company has
ground for a 250,000 tons/year toluene diisocyanate (TDI) plant at BISS which is scheduled to come
on stream in 2010. structures," explained Patrick Thomas.
Other production facilities for the Asian market
Just last month, the company started up its 20,000 tons/year
polyurethane dispersions plant, which is the first unit producing
waterborne polyurethane coating raw materials in China.
Waterborne coating systems use little or no solvent, thereby
reducing emissions of volatile organic compounds (VOCs) during
The company has also
completed the construction of its second polycarbonate line,
doubling its capacity for the high-tech engineering plastic
Makrolon(R) to 200,000 tons/year. The inauguration of this second
production line will depend on how the market develops.
New TDI production plant planned for integrated site in Dormagen
Bayer MaterialScience also plans to extend its isocyanate
production significantly in the Europe, Middle East, Africa
(EMEA) region in order to meet rising demand there. A new
world-scale plant for TDI with an annual capacity of
300,000 tons is slated for construction at the Dormagen/Uerdingen
integrated site in Germany. It will replace the existing TDI
plants at the Dormagen and Brunsbuttel sites. MDI production at
Brunsbuttel will be expanded to a total capacity of 400,000
tons/year by making use of the existing capacity of 160,000
tons/year and the existing infrastructure, and by converting the
present TDI plant to an MDI facility. Given the right business
conditions, i.e. political acceptance and the availability of a
suitable infrastructure for raw materials and energy, the two
projects are scheduled to be completed by 2013 at a total
investment cost of about EUR 300 million.
Oct 28, 2008
US warns Bayer over
aspirins containing supplements
Bayer AG aspirin products that contain dietary supplements have not been proven to
work and are
U.S. health regulators warned on Tuesday.
Claims made about the products, Bayer Aspirin with
Women's Low Dose Aspirin + Calcium, also mislead consumers,
Food and Drug Administration said.
Bayer builds new chlorine
recycling plant for TDI production in Shanghai
Cost leadership through
implementation of best available technologies / License agreement
with Sumitomo Chemical
plans to build another chlorine recycling plant at the Bayer
Integrated Site Shanghai (BISS). The process for this new unit is
based on the catalytic oxidation of hydrogen
chloride using oxygen. The new technology has been
developed by the Japanese company Sumitomo Chemical Co., Ltd., and was licensed to Bayer
MaterialScience. The plant will ensure the chlorine supply of the
250,000 tons/year toluene diisocyanate (TDI) facility in Shanghai. Bayer
MaterialScience has now broken ground for this new plant, which
is based on the company's innovative gas phase phosgenation
process and is scheduled to come on stream in 2010.
The process will take hydrogen chloride co-produced during the
manufacture of isocyanates, and will convert it very efficiently
to chlorine which is re-used as raw material. During the past
years, Sumitomo Chemical has enhanced the process and proven its
technical viability in combination with already operating
At BISS, Bayer MaterialScience has just started a new hydrochloric acid
to supply the 350,000 tons/year diphenylmethane diisocyanate
(MDI) train with chlorine. It uses the energy saving Oxygen
Depolarized Cathode technology, which has been developed by Bayer
"By combining these two innovative technologies, we will
strengthen our cost leadership in the isocyanate production. We
will also be able to significantly reduce energy consumption and
by that contribute to climate protection,"
Bayer AG (Leverkusen,
Germany; www.bayer.com), through a partnership with UhdeNora, a joint venture between Uhde
(Dortmund, Germany; www.uhde.com) and de Nora SpA (Milan, Italy), and de Nora
North America, has launched a worldwide marketing campaign
for an electrochemical process that converts hydrochloric
acid, a byproduct of vinyl chloride monomer or isocyanate
production, to chlorine and water using 30% less electricity
than the conventional diaphragm electroreduction process.
Dubbed oxygen depolarized cathode
酸素還元カソード) electrolysis, the process yields Cl^sub 2^
that is 99.9% pure and can be recycled directly without the
need for cleaning steps in between, says Fritz Gestermann,
manager of process development for electrolysis at Bayer
January 23, 2009 Xinhua
Chlor-Alkali Chemical to
withdraw from JV with Bayer China
Chemical Co., Ltd Friday announced that it planned to withdraw
its 10 percent interest in the Bayer (Shanghai) Polymer Co., Ltd.
Bayer (Shanghai) Polymer
Co., Ltd was co-founded by Bayer China Co., Ltd and Shanghai
Chlor-Alkali Chemical on Sept. 24, 2001 with 564.3 million US
dollars of total investment and 188.1 million US dollars of
Of the total investment,
169.29 million US dollars were invested by Bayer China and 18.81
million US dollars by Chlor-Alkali Chemical, taking 90 percent
and 10 percent, respectively.
Bayer Polymer has been
engaged in the production and sale of polycarbonate, bisphenol-a
and other polymer mixing materials.
The announcement showed
that by Sept. 30, 2008, the total assets of Bayer Polymer
amounted to 4,593.0163 million yuan, and its gross liabilities,
3,846.1686 million yuan, leaving owner's equity of 746.8477
will quote the 10-percent stake in Bayer Polymer on the Shanghai
United Assets Equity Exchange at a price higher than investment
The share transfer is
expected to improve cash flow of Chlor-Alkali Chemical, and
further help it cut financial cost.
Apr 15, 2009 SinoCast
Daily Business Beat
Chemical Sells 10% of Bayer Polymers (Shanghai)
Shanghai Chlor-Alkali Chemical Co., Ltd. has sold a 10% stake
in Bayer Polymers (Shanghai) Co., Ltd. for CNY 230 million to
Bayer MaterialScience AG.
Bayer builds world's
largest production plant for carbon nanotubes in Chempark
Bayer MaterialScience has
begun work on the construction of a new facility for the production of
carbon nanotubes (CNTs) in Chempark Leverkusen. The new plant will have a
capacity of 200 tons/year, making it the largest of its kind
in the world. The company is to invest around EUR 22 million in
the planning, development and construction of the plant, which
will create 20 new jobs. "We are investing in a key
technology of the future that will open up a broad range of new
applications for us. We intend to utilize this opportunity to the
full. At the same time, the construction of the new CNT facility
is a declaration of faith in Leverkusen and the State of North
Rhine-Westphalia as an industrial location," said Dr.
Wolfgang Plischke, the member of the Bayer AG Board of Management
responsible for innovation, technology and the environment, at a
press conference to mark the start of construction. Current
forecasts predict that the global market for carbon nanotubes
will grow by 25 percent a year. In ten years, annual sales of
these products are expected to reach US-Dollar 2 billion.
February 12, 2009
Bayer Schering Pharma to
invest 100 million Euro in China to build a global R&D center
Bayer Schering Pharma AG,
the pharmaceutical division of Bayer HealthCare (BHC), announced
today that it will be strengthening its global Research and
Development (R&D) capabilities through the foundation of a global R&D
center in Beijing, China. The company will invest some 100 million
Euro over the next five years to establish the center. With the
establishment of the R&D center in China, especially Asian
patients will benefit from considering their clinical profile and
medical needs early-on.
March 1, 2010 2007/2/14 バイエル、上海のTDI計画の能力拡大
planning new world-scale TDI plant at Dormagen site
150 million investment in the future /
production process was developed in Dormagen /
savings of up to 60 percent versus conventional plants
Bayer MaterialScience plans to invest roughly EUR 150 million in
a new high-tech production plant for TDI (toluene diisocyanate)
at Chempark Dormagen. TDI is a precursor for the production of
polyurethane flexible foam. The new plant will have a capacity of
tons per year
and will replace the existing plants in Dormagen and Brunsbuttel. The
background behind the project is the company's European-wide
optimization of isocyanate production. "This investment is a
clear commitment to North Rhine-Westphalia as an industrial
location. It is intended to strengthen Dormagen as a global TDI
technology center and to provide long-term security for the
competitiveness of Chempark Dormagen and the jobs at the plant
and in the region," declares Dr. Tony Van Osselaer,
member of the Bayer MaterialScience Board of Management.
MDI production at Brunsbuttel will be
expanded to a total capacity of 400,000 tons/year by making
use of the existing capacity of 160,000 tons/year and the
existing infrastructure, and by converting the present TDI plant to
an MDI facility.
The innovative and
patented TDI process technology to be used in the planned
facility sets new standards worldwide for efficient and
climate-friendly TDI production. "The expertise that flowed
into our TDI process innovation originated in Dormagen, which is
a source of great pride to us here,"
says Dieter Kuhne,
Head of TDI Production in Dormagen. "Our process enables us
to achieve energy savings of up to 60 percent
with a conventional plant of the same size. Furthermore, the
technology requires up to 80 percent less solvent. These factors
contribute to a significantly better energy and environmental
balance," adds Kuhne.
Start of the approval process
Bayer MaterialScience first presented plans to erect a new TDI
production plant in Dormagen in December 2008. The second phase
of the project is scheduled to begin in April 2010 with the
"scoping" hearing, to which the Cologne
regional government is invited as the regulatory authority.
Subject to political acceptance and approval being granted by the
authorities, the world-scale plant will be built on the site of
the coal-fired power plant, which will be torn down. The new TDI
production plant is currently scheduled to go on stream in 2014.
Dormagen will then be the sole Bayer MaterialScience site in
Europe for the production of TDI. Plans call for the production
of raw materials for polyurethane rigid foams to be expanded in
Chempark Dormagen offers ideal conditions
Chempark Dormagen was chosen as the site for the TDI plant in a
Europe-wide selection process, with the availability of raw
materials and precursors as well as the existing infrastructure
being key factors in the decision. The significantly greater
production capacity of the planned plant means that it will also
require correspondingly greater quantities of raw materials.
Whereas chlorine is already available in sufficient quantities in
Dormagen, a new reformer must be built to cover the increased
demand for carbon monoxide. The starting materials required for
this are also available in Dormagen. Furthermore, the hydrogen
produced as a byproduct of carbon monoxide production can also be
further processed directly on the site.
"We are very pleased that Bayer MaterialScience has chosen
Dormagen for this important investment. A plant of this size will
also bring with it a series of follow-up investments, thus
securing our competitiveness for the long-term,"
says Dr. Walter
Leidinger, Head of Chempark Dormagen. The site offers the
infrastructure required for these investments.
From process innovation to large-scale production
TDI has been produced in Dormagen since 1964. "We have
decades of experience with the production of TDI,"
notes Kuhne. The
new world-scale plant will use an innovative process technology
that has proved itself over the last six years in a Dormagen
pilot plant. The new TDI process - a quantum leap in terms of
energy efficiency, environmental compatibility and productivity ?
meets the most stringent safety standards. A large-scale plant
based on this process currently under construction in Caojing,
near Shanghai, China, is scheduled to go on stream in mid-2011.
TDI - a raw material with a future
TDI is an important precursor for the production of polyurethane
flexible foams. It is used to produce durable and high-quality
comfort products that have become integral parts of modern daily
life. Examples include sleep-friendly cold foam mattresses,
high-end chairs and seating, and back-friendly cushions for
office chairs and automobile seats, but also precision-fit
protective packaging, protective cushioning for microphones and
headphones and numerous other applications in the sports and
leisure segment. Bayer MaterialScience expects the demand for TDI
to continue to increase. With the efficient and sustainable TDI
process, Bayer MaterialScience hopes to further expand its
leading competitive position in this global market, which is
expected to experience long-term growth.
About Bayer MaterialScience:
With 2008 sales of EUR 9.7 billion, Bayer MaterialScience is
among the world's largest polymer companies. Business activities
are focused on the manufacture of high-tech polymer materials and
the development of innovative solutions for products used in many
areas of daily life. The main segments served are the automotive,
electrical and electronics, construction and sports and leisure
industries. Bayer MaterialScience has 30 production sites around
the globe and employed approximately 15,100 people at the end of
2008. Bayer MaterialScience is a Bayer Group company.
November 3, 2010
Bayer acquires Animal Health Company Bomac in New Zealand
Complementary portfolios with strong growth opportunities in
combining both businesses /
Creation of southern hemisphere hub to drive product innovation
Today, Bayer AG announced the acquisition of Auckland based Bomac Group; the parties signed a purchase
agreement. With this acquisition Bayer will strengthen its
worldwide Animal Health business with a special emphasis on
emerging markets in the southern hemisphere. Bomac has a broad
range of 290 products, especially in the area of food animals.
The main focus is on the treatment of mastitis 乳腺炎
with dairy cattle
and parasiticides 寄生虫駆除剤 in sheep. Bayer aims to benefit
also from Bomac's Research & Development expertise,
especially with respect to mastitis management and parasite
control. Due to confidentiality obligations, no financial
information is disclosed at this point in time.
Both companies regard the acquisition as a promising new phase in
their business development. The transaction represents a fit in
all important aspects of the businesses including product
portfolio and innovation pipeline.
It is planned to close the transaction upon receipt of the
necessary regulatory approvals, and begin combining the two
businesses thereafter. Due to the complementary nature of both
businesses, no major synergies are expected.
The transaction is seen as a win-win situation for both
companies. "The acquisition of Bomac gives us the
opportunity to capture local innovation and lever it across the
fastest growing markets in the world", says Dr. Alexander
Jahn, Head of Region International within Bayer Animal Health.
Connel McLaren, Managing Director of Bomac, also remarks on the
positive aspects of the acquisition: "We chose Bayer as the
perfect partner to help us take our innovation beyond
Asia/Pacific. Bayer shares our belief that New Zealand is an
ideal place to undertake new product development. Bayer's
commitment to expanding our research and development activity is
a great outcome for New Zealand."
Both companies also
have successful businesses in Australia and plan to further
expand their combined product offering across the Tasman.
Founded in 1958 Bomac is New Zealand's largest privately owned
dedicated animal health company.
Operating from modern GMP facilities in Auckland the company
manufactures over 290 production animal, equine and companion
animal products for sale in New Zealand and to over 60 countries
A significant commitment to R&D has seen Bomac average over
20 new product approvals per year in NZ since 2007. These include
innovative mastitis and reproduction products, injectable
solutions and suspensions, intra-ruminal devices, and sheep,
cattle and equine parasiticides.
This enviable track record of new products and delivery systems
has underpinned the company's continued growth as Bomac and its
200 staff in New Zealand and Australia strive to be "First
for Animal Health". www.bomac.co.nz.
November 18, 2010 Bayer
Bayer focuses resources
on growth and innovation
necessary in development pipeline, marketing and emerging markets
Annual savings of EUR 800 million planned from 2013 /
Planned net reduction of about 2,000 jobs worldwide by the end of
Bayer plans to invest its
resources even more systematically in growing the company and
enhancing its innovative capability. The focus will be on researching,
developing and marketing new products, particularly in HealthCare and
on expanding activities in the emerging markets. This will require a high level
of investment in the coming years. However, sales and earnings
are under pressure from generic products, rising development
costs and the effects of health care reforms. "To finance
the expansion of our growth activities, we therefore need to redirect
resources, improve efficiencies and cut costs," explained Bayer AG Management
Board Chairman Dr. Marijn Dekkers.
To raise investment in further growth, annual cost
savings of EUR 800 million are planned starting in 2013.
About half of this amount is to be reinvested. By the end of 2012
the company is likely to take one-time charges
in the region of EUR 1 billion, with part of this amount already
being incurred in the fourth quarter of 2010.
In connection with this program, it is planned to reduce the
global headcount of 108,700 by an aggregate of about 2,000 by 2012. Approximately 4,500 positions -
including roughly 1,700 in Germany - are to be cut, while some 2,500 new jobs
will be created
over the same period, particularly in the emerging markets.
"Bayer has great business potential in all three subgroups.
To better exploit this potential, we must continue to bundle
existing resources and streamline our structures. That is the
only way we can sustainably finance our investment in growth and
innovation ? for example in new pharmaceutical products, in our
BioScience business and in the expansion of our capacities in
Asia," said Dekkers. "The cutbacks
involved will not be easy, but they are necessary. I am convinced
that with more innovation and less administration, Bayer can
become a better and faster company."
December 9, 2010
Bayer plans to
significantly expand capacities in China
Group sales in Greater
China planned to increase to around EUR 5 billion by 2015 /
New MaterialScience production plants to be constructed and
existing ones expanded /
Expansion of research and development activities /
Headquarters of the Polycarbonates Business Unit to move to
Bayer intends to
significantly expand its capacities for the production of
high-grade materials in China by 2016. Investments of
around EUR 1 billion
are planned at the Shanghai site. This means Bayer will focus
even more intensively on the Asia/Pacific region, where it
expects consistent growth in its customer industries. Capacities
for the polyurethane raw material MDI are to be more
than doubled to one million metric tons a year and for high-performance polycarbonate to
The company also intends to significantly strengthen its research and
development activities there. Moreover, the headquarters
of the Polycarbonates Business Unit will be relocated from the main
Leverkusen site to Shanghai. The intention is to ensure even
greater proximity to the booming polycarbonates market in Asia.
expansion of our capacities in China is an important step in
strengthening our presence in the emerging economies,"
explained Bayer AG's Management Board Chairman, Dr. Marijn
Dekkers. "We want to increase Group sales in
Greater China to around EUR 5 billion by 2015. MaterialScience is expected to contribute at
least half of this amount." In fiscal 2009, the Bayer Group
in Greater China recorded sales of EUR 2.1 billion, of which EUR 1.2 billion was
accounted for by MaterialScience.
"The strong economic growth in China and in the whole region
offers us outstanding opportunities, and we want to make the most
of them," added Patrick Thomas, CEO of Bayer
MaterialScience. "For us, it is strategically important to
have the necessary capacities in the Asia/Pacific region to meet
constantly rising demand."
Thomas emphasized that this was one of the biggest single
investments to date for Bayer MaterialScience. In terms of sales,
China is the second most important country in the world for the
Bayer subgroup. It is already investing EUR 2.1 billion in
Shanghai as part of a long-term project lasting until 2012.
Together with the now announced expansions, this means a total
investment of more than EUR 3 billion. For these new projects, a
memorandum of understanding has now been signed with the relevant
Five production projects
Five separate projects are planned - in cooperation with Bayer
Technology Services - to increase production capacity at the
Shanghai Chemical Industry Park. For polycarbonate, a new facility is scheduled to
be built with a capacity of 200,000 metric tons a year. In
addition, it is planned to increase the capacity of the existing
plant by 100,000 to 300,000 t/y. The Asia/Pacific region
currently accounts for around 60 percent of the world's total
polycarbonate market, with the greatest demand coming from China.
The plastic is used predominantly in the automotive, electrical
and electronics, and construction industries.
In addition, Bayer wants to increase its capacities in Shanghai
for raw materials for the production of polyurethane rigid foam,
which is used, for example, to save energy throughout the cool
chain as an insulant. To this end, it plans to build a new MDI plant with an annual production
capacity of 500,000 tonnes. At the same time, the company also
intends to expand the capacity of its present MDI production
facility from 350,000 to 500,000 t/y.
A further part of this investment package is the expansion of HDI production. HDI is an important
starting product for high-quality surface coatings. There are
plans to expand the capacity of the existing HDI production to
meet short term market demand. The construction of a further
50,000-tonnes/year HDI production facility is also planned.
Only recently, Bayer MaterialScience announced the construction
of five customer support facilities in Shanghai and three other
Chinese cities. They will focus on customized production and
further processing. The company has earmarked a further EUR 110
million for this project.
With the expansion of its research and development center for polymers in Shanghai, Bayer
MaterialScience intends to strengthen its capability as a
provider of innovative solutions. It plans to concentrate on
areas in which China plays a leading global role, such as wind
turbines and solar energy plants. The other research and
development facilities in Europe and the United States will
continue to be dedicated to further promising areas of research
and to be part of the company's global R&D network.
New headquarters for polycarbonate activities
Furthermore, Shanghai will become the new headquarters of the
global polycarbonate activities of Bayer MaterialScience. The
management team headed by Dr. Günter Hilken will move there from
Leverkusen. The relocation is scheduled to begin next year. By
moving closer to its customers, Bayer MaterialScience is taking
account of the importance of the region for the global
polycarbonates market. The company expects this step to speed up
decision-making processes and to achieve more efficiency
generally in day-to-day work processes.
About Bayer MaterialScience:
With 2009 sales of EUR 7.5 billion, Bayer MaterialScience is
among the world's largest polymer companies. Business activities
are focused on the manufacture of high-tech polymer materials and
the development of innovative solutions for products used in many
areas of daily life. The main segments served are the automotive,
electrical and electronics, construction and the sports and
leisure industries. At the end of 2009, Bayer MaterialScience had
30 production sites and employed approximately 14,300 people
around the globe. Bayer MaterialScience is a Bayer Group company.
March 14, 2011 Bayer
Plans to expand MDI plant
Bayer MaterialScience to invest Euro 100 million in Germany
plant Brunsbüttel: rise of production capacity
to 420,000 metric tons a year
plans to invest roughly Euro100 million in the expansion of the
high-tech production plant for MDI (diphenylmethane diisocyanate)
at the Bayer Brunsbüttel Industrial Park in Germany.
The project is part of the phased optimization
announced previously for isocyanate production in Europe. The
first of the coordinated phases is the construction of a new
high-tech production plant for TDI (toluene diisocyanate) in Dormagen with an annual capacity of 300,000 metric
annum (tpa). The facility is scheduled to come on stream in 2014.
Somewhat later, the annual capacity of the existing MDI plant in
Brunsbüttel will be expanded from 200,000
metric tons to a total of 420,000 tpa. The TDI plant at the site will be
converted to MDI as part of this measure.
“This investment is a clear
commitment to the Brunsbüttel site. The planned world-scale
MDI production facility is intended to strengthen the site and to
provide long-term job security at the plant and in the region,”
says Dr. Tony Van
Osselaer, member of the Bayer MaterialScience Board of
Start of the permitting process
The responsible authorities are expected to initiate the first
step, what is known as the scoping process, in May 2011. The
plant is scheduled for commissioning in 2015/2016, depending on
the length of the permitting process and developments in the
"The plastics industry expects global demand for MDI and TDI
to continue to rise," says Peter Vanacker, member of the
Executive Committee of Bayer MaterialScience and responsibe for
the Business Unit Polyurethanes. "With the phased
implementation of our optimization concept, we hope to further
expand our leading position in this global market, which is
expected to experience long-term growth."
MDI is the raw material for polyurethane rigid foam, which is
very effective when used for thermal insulation in buildings and
in the refrigeration train. The energy savings achieved help to
emissions. In addition, applications in modern vehicle
construction provide for enhanced safety. Many national
regulations require the automotive industry to incorporate
specific safety features designed to reduce the risk of injury to
pedestrians in the event of an accident. MDI offers these
Bayer Brunsbüttel Industrial Park offers ideal
The Bayer Brunsbüttel Industrial Park was chosen
over other Bayer sites for the world-scale MDI plant, with the
availability of raw materials and precursors as well as the
existing infrastructure being key factors in the decision. The
significantly greater production capacity of the planned plant
means that it will also require greater quantities of raw
materials. A corresponding expansion of the existing MDA facility
as well as a new plant for aniline will ensure their supply.
are very pleased that Bayer MaterialScience has chosen Brunsbüttel for this important
investment. A plant of this size ensures our competitiveness and
secures both jobs and training positions for the long-term,"
says Dr. Volker Weintritt, site and production manager of the
From process innovation to large-scale production
MDI has been produced in Brunsbüttel since 1988. “We have extensive experience with
the production of MDI,” says Weintritt. Bayer
MaterialScience will deploy the latest technologies for this
project. The new aniline plant, for example, will use the same
adiabatic process used at a plant taken on stream in China in
2008. This process conserves resources and uses less energy than
7 August 2011 guardian.co.uk
Bayer threatens to quit Germany over nuclear
German companies may relocate production to countries with lower energy costs
Germany's decision to phase out nuclear power after the Fukushima catastrophe in
Japan could lead to some of the country's major companies relocating elsewhere
in search of cheaper energy.
Marijn Dekkers, head of Bayer, the pharmaceuticals group, said: "It is important
that we remain competitive compared with other countries. Otherwise, a global
company like Bayer will have to consider relocating its production to countries
with lower energy costs."
Under a package of energy bills passed last month by the German government, all
nuclear power facilities in the country will be taken offline by 2022.
say that the move will hit energy companies hard and contribute to an increase
in electricity prices.
Dekkers told the business magazine WirtschaftsWoche that
costs were already the highest in the EU, making the country "unattractive" for
the chemicals industry.
Bayer, which developed the first aspirin in 1897, employs more than 35,000
people in Germany. Dekkers said that his company was planning 4,500 job cuts
worldwide – including 1,700 in Germany – but that it was already investing in
"Overall, we will create over 2,500 new jobs in countries like Brazil, India,
Russia or China," he told WirtschaftsWoche.
The report also quoted Robert Hoffmann, head of the communications company 1&1,
saying that taxes to subsidise renewable energy sources were too high in
Germany. Hoffmann said that his company drew energy from Norwegian hydropower
plants, but that it still had to pay a contribution to German renewable energy
"Essentially, we're subsidising the construction of solar-powered roofs... So we
end up paying double," he said. Hoffmann said that his company was looking at
locations where "green electricity exists without the extra costs".
In a report released last week, the Swedish energy company Vattenfall attributed
a fall of 10.2bn Swedish krona (£1bn) in operating profit for the second quarter
of 2011 to "a one-off effect of the German parliament's decision to phase out
the country's nuclear power".
The move has also prompted concerns about disrupted power supplies. German
transmission systems operators have warned there could be a risk of power
outages this winter, and have questioned the reliability of renewable energy
sources, saying there is still a need for base power sources to ensure the
stability of the grid.
November 16, 2011 Bayer
Bayer plans further expansion in Asia
Sales in the region to grow to well over
EUR 11 billion by 2015 /
Some EUR 6 billion in sales expected in Greater China alone /
Plans to expand production, distribution network and research /
Further capital expenditures of EUR 1.8 billion in Asia by 2015 /
New TDI production facility dedicated in Shanghai
The Bayer Group plans to further expand its
production, distribution network and research activities in Asia and
considerably increase its sales in the region in the coming years. “We aim to
achieve a more than 60 percent increase in our sales in Asia by 2015,”
Management Board Chairman Dr. Marijn Dekkers said on Wednesday at Bayer’s
international press conference “Perspective on Growth in Asia,” held in
Shanghai, China. This would mean annual sales of well over EUR 11 billion by
2015 at today’s exchange rates. Of this figure, Greater China is planned to
account for some EUR 6 billion. Dekkers officially inaugurated a new production
facility for TDI – a raw material for the production of flexible foams – at the
Bayer Integrated Site Shanghai.
At the press conference, attended by more
than 100 media representatives – with journalists in India, Vietnam and
Indonesia participating via live video link – Dekkers explained the company’s
perspectives in the emerging countries of Asia. He said the Bayer Group already
does a significant proportion of its business in Asia. Twenty years ago, Asia
accounted for only about 10 percent of sales, equivalent to just over EUR 2
billion. Ten years ago, the proportion had grown to about 15 percent, and last
year the region already accounted for some 20 percent of sales. In the Asian
region, Bayer achieved sales of EUR 6.9 billion in 2010, including EUR 2.9
billion in Greater China, and anticipates further growth in Asia in 2011. “We
have made capital expenditures of EUR 3.4 billion in Asia over the past 10
years, creating a basis for outperforming market growth in this region,” said
Bayer has laid a firm foundation for expansion. “Our country organizations here
have had local roots for many years, in fact we have been operating for more
than a century in China, India and Japan,” said Dekkers. “We are familiar with
the markets, and we know how to tune our approaches to the different conditions
prevailing in different markets in order to further expand our business.”
Megatrends particularly strong in the emerging Asian markets
Asia is a remarkable continent with particularly strong growth momentum, Dekkers
continued. He said the change processes resulting from global megatrends are
especially rapid and fundamental in the emerging markets. These megatrends
include rising life expectancy, which is greatly increasing the demand for
health care. “Products from Bayer HealthCare help to keep people healthy, cure
diseases and significantly improve the quality of life – also for elderly
people,” said Dekkers.
Another megatrend is the growth in the world population, which is expected to
increase by another 2 billion to 9 billion over the next 40 years. At the same
time, more and more agricultural land is being used for energy production. “Our
researchers at Bayer CropScience are helping to increase yields on the limited
amount of agricultural land available, and to reduce harvest losses,” Dekkers
According to Dekkers, humankind must also bring the megatrend of climate change
to a halt and start reversing it. Asia consumes more energy than North America
and Europe combined, he said. “Products from Bayer MaterialScience not only help
to save energy through high-performance thermal insulation in buildings or
lighter-weight materials in vehicles, they also improve the performance of wind
turbines, for example. And we take care to use energy-saving processes in the
manufacture of our products.”
Further investment in production, distribution, research and human resources
All the Asian countries are intended to play a part in achieving the sales
increase targeted for 2015. Apart from China, this applies particularly to
India, where sales are expected to grow from just over EUR 0.5 billion last year
to about EUR 1 billion. Sales in Japan are planned to rise from just under EUR 2
billion to around EUR 2.4 billion. To meet its targets, Bayer intends to improve
the availability of its products in Asia. “We already operate major production
facilities here and intend to go on expanding in the future,” said Dekkers. He
said Bayer will continue to expand its distribution network to serve the
subcenters and rural areas as well.
In addition, Bayer intends to participate in the region’s transition to an
innovation hub of the globalized world. Here the company is focusing on
collaborations with the leading institutes and centers of expertise, as well as
its own activities. “We will also continue to invest in local research and
development and thus contribute our know-how to the R&D landscape here. And in
doing so, we are taking account of Asia’s particular needs,” said Dekkers. That
applies, for example, to diseases that occur more frequently there than in other
parts of the world – such as liver cancer. Bayer also wants to improve access to
its new medicines in Asia by integrating Asian patients into the early stages of
global development programs, and plans to submit innovative medicines for
registration concurrently in Asia, Europe and the United States.
Bayer CropScience works with agricultural crops that are particularly important
in Asia, Dekkers explained. The subgroup’s focus is therefore on research and
development projects for crops such as oilseed rape/canola, rice, cotton,
soybeans, wheat and vegetables. Bayer MaterialScience not only supplies
industrial customers with locally manufactured polymer products, it also offers
the necessary technical advice and applications development know-how through its
To meet its growth targets in Asia, Bayer plans to develop the necessary
personnel resources, Dekkers continued. The company’s Asian workforce has
increased by nearly 8 percent in the past 12 months alone. “And we expect to see
a further rapid increase in employment in the coming years.” The number of
employees in Asia could increase from 23,700 in 2010 to more than 30,000 by
2015. Capital expenditures of some EUR 1.8 billion are also planned during this
Bayer aiming for rapid growth in all subgroups in China
A major focus of Bayer’s activities is Greater China, now the company’s biggest
market in the region. In the first nine months of 2011, Bayer had some 11,000
employees in Greater China and sales of EUR 2.2 billion (RMB 19.8 billion),
which was 8 percent of Bayer Group sales. Bayer MaterialScience accounted for 59
percent, Bayer HealthCare for 37 percent and Bayer CropScience for approximately
4 percent of this figure. “We want all of our subgroups in China to continue
their rapid growth,” said Dekkers. Bayer plans to increase sales in Greater
China to about EUR 6 billion by 2015, with MaterialScience accounting for about
EUR 3 billion of this figure, HealthCare for EUR 2.5 billion and CropScience for
a good EUR 300 million.
Dekkers described the steady double-digit growth rates in the Chinese
pharmaceutical market as remarkable, pointing out that Bayer is one of the five
largest health care companies in China. Local sales of Bayer HealthCare in 2010
amounted to EUR 926 million (RMB 8.2 billion), with the prescription medicines
of the Pharmaceuticals Division accounting for 80 percent of this figure and
non-prescription medicines, medical devices and animal health products for 20
With a market share of nearly 5 percent and EUR 130 million (RMB 1.2 billion) in
sales, Bayer CropScience is the number three supplier in the Chinese crop
protection market. “Our aim is to be the supplier of choice in China’s most
important crops – especially rice and vegetables,” said Dekkers, adding that the
key to this lies in comprehensive solution packages – including innovative
products – that give effective support to farmers.
The Chinese market is of considerable importance for the MaterialScience
business. For example, China is the world’s biggest market for the construction
industry, for automobiles and railway vehicles, for the electrical and
electronics industry, and for shoe production. These industries are among the
principal customers of Bayer MaterialScience. Last year Bayer MaterialScience
had sales of EUR 1.8 billion (RMB 16.3 billion) in Greater China.
New TDI plant dedicated
On Wednesday, in the presence of numerous guests as well as high-ranking
politicians and officials, Dekkers inaugurated
a new TDI production facility with a planned capacity of 250,000 tons per year
at the Bayer Integrated Site Shanghai. The plant is based on a new
process technology that reduces solvent use by some 80 percent compared with
plants of a similar size that use the conventional process. It also lowers
energy consumption by up to 60 percent. The use of this technology also enables
substantial savings on operating costs and a reduction of roughly 60,000 tons
per year in carbon dioxide emissions. In addition, the new technology cuts the
investment costs for large-scale plants of this type by around 20 percent.
Second investment phase at the Shanghai production site
“We have been operating at the Shanghai Chemical Industry Park for ten years,”
the Bayer CEO remarked. Bayer MaterialScience has invested EUR 2.1 billion in
production facilities for all of its major products on this site. The company
intends to follow this first phase of investment with a second phase. Bayer
plans to spend a further EUR 1 billion to expand its MDI capacity to 1 million
tons per year, increase its polycarbonate capacity to 500,000 tons annually and
build a new HDI line that will raise annual capacity by 50,000 tons. “These are
considerable capital expenditures involving significant capacity expansions. It
goes without saying that we use the very latest technology in our facilities,”
October 30, 2012 Bayer
Bayer to acquire Schiff Nutrition
International for US$ 1.2 billion
Bayer HealthCare LLC has signed a merger
agreement to acquire Schiff Nutrition International, Inc.,
a leading company offering vitamins and nutritional
supplements in the United States and other countries. Schiff’s product
portfolio includes core brands MegaRed®, Move Free® and Airborne®, among others.
The transaction values Schiff at approx. US$1.2 billion
(approx. EUR 920 million) representing US$34 per share in cash. Closing is
subject to customary closing conditions and is expected by year end 2012.
“Bayer is committed to augment its organic growth with strategic bolt-on
acquisitions. This transaction represents an excellent strategic fit for our
HealthCare business,” said Dr. Marijn Dekkers, CEO of Bayer AG. “The Schiff
business significantly enhances our presence and position in the United States,
which accounts for more over-the-counter and nutritional products sales than any
other country in the world.”
“We will utilize our extensive marketing, sales and distribution expertise to
further develop the strong brands we are acquiring,” said Dr. Jörg Reinhardt,
CEO of Bayer HealthCare. “We will also look to leverage Schiff’s new technology
platforms with innovation potential for other Bayer-owned brands and markets
Tarang P. Amin, President and CEO of Schiff, said, “Schiff has a 75 year
heritage of providing consumers with quality nutritional products. We are
focused on building premium brands and leading innovation. We believe Bayer is
well positioned to take our leading brands to the next level.”
Schiff generated net sales of US$259 million (approx. EUR 200 million) for its
fiscal year ended May 31, 2012. On September 18, 2012, Schiff publicly announced
that net sales for fiscal year 2013 were projected to grow between 43 and 46
percent. Expected sales growth includes contributions from new products and
brand building as well as Airborne®, which was acquired by Schiff on March 30,
The company employs approximately 400 people with its headquarters and
manufacturing site based in Salt Lake City, Utah, as well as offices in
Emeryville, California. The Schiff portfolio includes strong brands in three of
the largest health supplement segments including Joint Care (Move Free®),
Cardiovascular Health (MegaRed®) and Immune Support (Airborne®), among others.
These products complement Bayer’s existing OTC portfolio and will allow it to
provide consumers with a broad range of options in these key segments.
About Schiff Nutrition
Schiff Nutrition International, Inc. is a leading nutritional supplement company
offering vitamins, nutritional supplements and nutrition bars in the United
States and abroad. Schiff’s portfolio of well-known brands includes MegaRed®,
Move Free®, Airborne®, Tiger's Milk®, Digestive Advantage® and Schiff® Vitamins.
Focused on quality for 75 years, Schiff’s headquarters and award-winning
manufacturing and distribution facility are based in Salt Lake City, Utah. To
learn more about Schiff, please visit the web site
2012/11/16 Reckitt Benckiser
Reckitt Benckiser commences all-cash tender offer of $42 per share to
acquire all outstanding shares of Schiff Nutrition
Reckitt Benckiser Group PLC today
announced it has commenced its previously announced tender offer to acquire
all of the outstanding shares of Schiff Nutrition International, Inc., a
leading provider of branded vitamins, nutrition supplements and nutrition
bars in the United States and elsewhere, for $42.00 per share in cash, or
approximately $1.4 billion.
Bayer to acquire Schiff Nutrition
International for US$ 1.2 billion
About Reckitt Benckiser
Reckitt Benckiser (RB) is a global consumer goods leader in health, hygiene
and home, listed on the London Stock Exchange
(LSE). With a purpose of delivering innovative solutions for healthier lives
and happier homes, RB is in the top 25 of companies listed on the LSE. Since
2000 net revenues have more than doubled and the market cap has quadrupled.
Today it is the global No 1 or No 2 in the majority of its fast-growing
categories, driven by an exceptional rate of innovation. Its health, hygiene
and home portfolio is led by 19 global Powerbrands including Nurofen,
Strepsils Gaviscon, Mucinex, Durex, Scholl, Lysol, Dettol, Clearasil, Veet,
Harpic, Bang, Mortein, Finish, Vanish, Woolite, Calgon, Airwick, and
French’s, and they account for 70% of net revenue.
RB people and its culture are at the heart of the company’s success. They
have an intense drive for achievement and a desire to outperform wherever
they focus, including in CSR where the company has reduced its carbon
footprint by 20% in 5 years and is now targeting to deliver a 1/3 reduction
in water use, 1/3 further reduction in carbon and have 1/3 of its net
revenue coming from more sustainable products by 2020. It is also the Save
the Children charity’s largest FMCG global partner.
The company has operations in over 60 countries, with headquarters in the
UK, Singapore, Dubai and Amsterdam, and sales in almost 200 countries. The
Company employs approximately 32,000 people worldwide.
Reckitt Benckiser Offers $1.4 Billion for
Reckitt Benckiser Group offered to buy Schiff Nutrition International Inc.
for $1.4 billion, weeks after the vitamin maker's main shareholders agreed
to a lower-priced buyout bid from Bayer AG.
Reckitt Benckiser's all-cash offer values Schiff's shares at $42, a 23%
premium to the vitamin and supplement company's Thursday closing price.
Schiff's shares jumped 28% after hours to $43.52.
Reckitt Benckiser's offer is also 24% higher than the $34-a-share deal
proposed by German pharmaceutical and chemical company Bayer at the end of
October. Bayer said it intended to bolster its U.S. consumer-health
operations with the acquisition.
Schiff's two main shareholders, who hold a combined
85% of voting rights in the company, accepted
Bayer's bid, triggering a squeeze-out of the minority shareholders
under U.S. law, Bayer Chief Financial Officer Werner Baumann has said.
Reckitt Benckiser Chief Executive Rakesh Kapoor said in an interview that he
is confident that Schiff's board will recognize that the latest offer is
superior and that a deal can be closed quickly.
"We believe we have made a very competitive offer," Mr. Kapoor said Friday.
Mr. Kapoor said Thursday that acquiring Schiff would provide a powerful
entry into the growing global vitamins, minerals and supplements market,
with "immediate scale" in the U.S. He valued the sector, which has been
growing in size and competitiveness, at $30 billion.
The U.K.-based maker of Air Wick air freshener and Nurofen pain-relief
tablets recently reported strong earnings, boosted by improving performance
in Europe and North America, where it generates over half its sales, and
growth in emerging markets across Asia-Pacific and Latin America. It wants
the majority of its sales to come from developing economies, excluding food
and pharmaceuticals, by 2016. It is moving away from household categories to
concentrate on driving sales of higher-margin health and hygiene products.
Mr. Kapoor said the company hopes to grow Schiff in the same way that it has
expanded other brands it has bought. "We hope that we can do great things
with Schiff," he said.
Schiff generates 95% of its revenue in the U.S., selling popular brands such
as MegaRed, Airborne and Move Free in the heart, immunity and joint care
categories. The Salt Lake City-based group is just outside the top 10
players in the $22 billion U.S. vitamins and dietary supplements market,
according to Bernstein data. It expects to generate sales of roughly $385
million for the fiscal year ending May 31, 2013.
Reckitt Benckiser bought U.S. drug maker Adams
Respiratory Therapeutics, maker of Mucinex, in 2008. The Mucinex
brand has since expanded and added cold and flu liquids, though it faced a
setback earlier this year when a federal court ruling paved the way for a
competitor, Perrigo Co., to launch a generic version of the treatment.
Reckitt has a solid track record for acquisitions in the consumer health and
over-the-counter markets, said Deutsche Bank analyst Harold Thompson. "The
growth and margin improvement which have been promised with each deal have
always come through and more."
Bernstein Securities analyst Andrew Wood said Reckitt's play for Schiff has
logic and could even merit a higher bid should a bidding war ensue.
"We believe this acquisition makes excellent strategic sense and good
financial sense," and could trigger a counter-bid from Bayer, he said.
Other large consumer players, such as Johnson & Johnson, may also show
interest, Mr. Wood said.
Bayer and Johnson & Johnson weren't immediately available to comment.
November 30, 2012 Bayer
150 years of Bayer: Success through
innovation and change
The Bayer Group will be celebrating its 150th anniversary in 2013 with numerous
events around the world. "Bayer can look back on a long and highly successful
history as an inventor company," explains CEO Dr. Marijn Dekkers. "What started
as a small but innovative dyestuffs factory in the Barmen district of Wuppertal
is now a global enterprise with more than 110,000 employees. In the past 150
years, Bayer inventions have time and again helped improve people's quality of
life. This great tradition is also our commitment to the future - entirely in
line with our mission of Bayer: Science For A Better Life." To mark the
anniversary, Bayer is planning a series of events and projects worldwide
throughout the coming year. These will focus on the company’s employees and
their families - but neighbors, customers, partners and the scientific community
are also to be included in the celebrations.
The general partnership "Friedr. Bayer et
comp." was founded on August 1, 1863 in Barmen
- now a district of the city of Wuppertal (ライン川の支流、ヴッパー川沿いに位置する工業都市)-
by dye salesman Friedrich Bayer (1825-1880) and master dyer Johann Friedrich
Weskott (1821-1876). The object of the company was the manufacture and sale
of synthetic dyestuffs.
The production of these dyes from coal-tar derivatives had only been
invented a few years previously, opening up a new field of business for the
still-young chemical industry. Its market was the textile industry, which at
the time was growing rapidly in the wake of industrialization. The natural
dyes that had been used until then were scarce and expensive. New
inventions, such as the synthesis of the red dye alizarin, and the strong
demand for tar dyes led to a boom in new foundings. Many dye factories were
built at this time, but only innovative companies with their own research
facilities and the ability to exploit opportunities on the international
market managed to survive over the long term. Bayer was one of these
A joint stock company is established
The financial foundation for expansion was laid in 1881, when Bayer was
transformed into a joint stock company called "Farbenfabriken vorm. Friedr.
Bayer & Co." The company's impressive growth in its early years is evident
from the size of the workforce, which grew from three in 1863 to more than
300 in 1881.
"Bayer products have become indispensable to
our lives," says Dekkers. One example is the pain reliever
Aspirin™, which came on the market in 1899 and remains one of Bayer's top
products to this day. Over the decades, Bayer's researchers have developed
pioneering active substances to treat infectious, tropical and cardiovascular
diseases, for example. Today, pharmaceuticals research at
Bayer HealthCare concentrates mainly on the fields of cardiology and
hematology, oncology, women’s healthcare and diagnostic imaging.
A further focal point of Bayer research is agriculture.
When Bayer started selling Antinonnin, the world's
first synthetic insecticide to control the nun mothノンネマイマイ,
in 1892, it was the start of a success story. Today, Bayer
CropScience is a global leader in its field. This success is based on
innovations - not only chemical and biological crop protection products that
offer sustainable solutions, but also high-quality seed. Added to this is a
broad range of products and services for home and garden and forestry
In the area of high-performance materials, the
polyurethanes for foams discovered in the 1930s and the high-performance
polycarbonate (Makrolon™) that was patented in 1953
form the basis for an ever-expanding range of applications. Today,
high-performance materials from Bayer MaterialScience
make an important contribution to conserving fossil resources. Polyurethanes,
for example, are used to insulate buildings and thus reduce the amount of energy
used in heating or cooling. Lightweight materials help make cars lighter,
thereby cutting their fuel consumption. It is thanks to the invention of
aliphatic polyurethane coatings that assets can be preserved for longer than
ever before. Modern coating systems can withstand both wind and weather and put
a shine on cars, ships, rail vehicles and wind turbines.
150 years of ongoing change and renewal
150 years of Bayer - an anniversary like this instantly calls to mind words such
as tradition and continuity, according to Dekkers. However, Bayer can actually
look back on 150 years of ongoing change and renewal. "A company cannot exist in
the long term without changing and adapting," emphasizes Bayer's CEO.
The company was founded as "Friedr. Bayer et comp." on
August 1, 1863 by business-man Friedrich Bayer and dyer Johann Friedrich
Weskott in the Barmen district of Wuppertal. Bayer initially produced synthetic
dyestuffs but the range of products grew significantly over the years. In 1881,
the company was made a joint stock corporation - "Farbenfabriken vorm. Friedr.
Bayer & Co." - and developed into an international chemical company. In the
course of expansion, Bayer relocated its headquarters to
Leverkusen in 1912. Following the First World War, in 1925, the company
became part of the I.G. Farbenindustrie AG
conglomerate. It was re-established as an independent company named "Farbenfabriken
Bayer AG" in 1951.
The pace of change picked up significantly following Bayer's 125th anniversary
in 1988. The company shifted its focus more towards its core activities,
resulting in the sale of subsidiary Agfa in 1999.
In 2005, Bayer then spun off significant parts of its traditional chemicals
business under the name Lanxess. At the same time,
the health care and agriculture businesses - referred to as the life sciences -
were systematically expanded, especially with the acquisitions of
Aventis CropScience (2001) and Schering AG, Berlin,
Germany (2006). "Thanks to our innovative strength and our ability to
adapt constantly to market changes, Bayer now holds leadership positions in all
its business areas," says Dekkers. The spirit of inventiveness and the will to
succeed form the bridge spanning the company's history from its origins 150
years ago to today.
Celebrating with employees, neighbors, partners, customers and the scientific
"All of that is reason enough to celebrate this anniversary in a befitting way,"
says Michael Schade, Head of Corporate Communications. Bayer is planning a whole
series of events next year. These will focus on its more than 110,000 employees
all over the world. Celebration events are also planned for the company’s
neighbors, customers and partners and a symposium is to be held for the
scientific community in the fall.
In the area of corporate social responsibility, too, Bayer will set a new signal
to mark its anniversary. Each year, the company supports some 30 volunteering
projects involving its employees and retirees in Germany. In 2013, this support
is to be expanded significantly and will also be offered worldwide.
"It goes without saying that we want to use our anniversary to make the Bayer
name even better known across the world," continues Schade. One of the projects
being prepared is a traveling exhibition that will visualize topics related to
health care, agriculture and high-performance materials. This exhibition is
scheduled to visit more than 20 sites throughout the world. A further highlight
will be an airship displaying the Bayer Cross that will travel to all continents
during 2013. Various publications are also being prepared. These will provide
detailed and sometimes surprising insights into the inventor company. "We've got
a lot planned for the coming year but we don't want to reveal everything just
yet," says Schade. The company will publicize details about the planned
activities next year.
Bayer: Science For A Better Life
Bayer is a global enterprise with core competencies in the fields of health
care, agriculture and high-tech materials. As an inventor company, it sets
trends in research-intensive areas. Bayer’s products and services are designed
to benefit people and improve the quality of life. At the same time, the Group
aims to create value through innovation, growth and high earning power. Bayer is
committed to the principles of sustainable development and acts as a socially
and ethically responsible corporate citizen. In fiscal 2011, the Group employed
about 112,000 people and had sales of €36.5 billion. Capital expenditures
amounted to €1.7 billion, R&D expenses to €2.9 billion.
January 7, 2013 Bayer
参考 2012/1/25 BASF、ドイツに年産30万トンのTDIプラントを建設
Bayer gets the green light to build and operate the new world-scale TDI plant in
Following a detailed appraisal, the
Cologne district authority has granted Bayer
MaterialScience the permit to build and operate the new high-tech facility for
the production of the chemical TDI (toluene
diisocyanate) at Chempark Dormagen. TDI is needed as a precursor for the
manufacture of flexible polyurethane foams to make products such as high-quality
foams for mattresses, chairs and car seats.
|The Polyurethanes Business
Unit is the largest in Bayer MaterialScience and accounts for
around 50 % of the company’s sales. With about 4.900 employees
around the world and 2011 sales of around 5.435 billion €, the
Polyurethanes Business Unit leads the global PU industry.
“We are delighted that the approval process
has been successfully completed and we can press ahead with our construction
work as planned,” says Dr. Joachim Wolff, who is the member of Bayer
MaterialScience’s Executive Committee responsible for the Polyurethanes Business
Unit. “This innovative high-tech process marks the start of safe and
eco-friendly world-scale polyurethane production that makes the best possible
use of energy and resources. Compared with a conventional plant with the same
capacity, the new facility will reduce energy consumption by up to 60 percent
and require as much as 80 percent less solvent. This will also give us a
decisive competitive edge,” he adds.
With an annual capacity of 300,000 metric tons, the
future world-scale plant is a key part of a long-term investment strategy at
Bayer MaterialScience to turn its Dormagen site into a global technology center
for the development and production of polyurethanes. The employees who will be
working at the new TDI facility started their training last spring. They include
15 new employees who are working alongside staff at the current pilot plant and
receiving intensive instruction.
Construction progress on schedule
The approval authorities gave the go-ahead for the provisional start of
construction in February 2012. Since then, work at the giant construction site
has been progressing in leaps and bounds. In November, for example, the
construction team reached a key milestone when the TDI plant’s 90.5 metric ton
distillation column – a cylindrical steel structure – arrived at Chempark by
truck. “If progress on site continues at this pace, there is nothing standing in
the way of us completing and commissioning the plant midway through 2014,” says
Dr. Steffen Kühling, who is in charge of production and technology in the
Polyurethanes Business Unit.
Site’s long-term future secure
The construction phase of the project will create between 500 and 1,500
additional jobs. Many contractors come from the region, such as the piping
planning firm Keynes from Neuss and equipment manufacturers Quast and
Dormagen-based APL. Later on, when the facility is up and running, companies
from Dormagen and the surrounding area will be involved in maintenance,
construction and repair work, plus the provision of technical services in the
area around the new plant. The project also safeguards existing upstream and
logistics jobs at the site. The same applies to numerous additional jobs
associated with TDI production in the value-added chain in North
Rhine-Westphalia and Germany.
Detailed notification of approval
When providing notification of approval, the authorities give a detailed
explanation of the reasons that led to their decision. The process involves
examining the prerequisites for approval, summarizing and evaluating the
environmental impact assessment and, last but not least, evaluating the safety
concept. Any objections raised are also taken into account. The authorities
granted the permit for the project following a detailed appraisal of all aspects
involved and based on the documentation submitted.
Comprehensive information for all interested parties
From the start of the TDI project, Bayer MaterialScience has ensured intensive
dialogue with the local community and stakeholders. All local residents,
environmental associations, organizations, authorities and political
representatives can still benefit from open dialogue with the company about the
July 25, 2013 Bayer
Bayer to use CO2 commercially as a new raw
Greenhouse gas for production of high-quality plastics / Process offers
ecological and economic advantages / Successful two-year test phase
Following a successful test phase, Bayer is aiming to commercialize the use of
the greenhouse gas carbon dioxide as a new raw material for plastics. The
company has started the planning process for the construction of a production
facility at its site in Dormagen, Germany, where CO2 will be used to produce
a precursor for high-quality foam. The objective is
to initially make larger quantities of this precursor available to selected
processors from 2015.
The use of carbon dioxide benefits the environment. CO2 replaces a portion of
the fossil raw materials, such as petroleum, that would otherwise be used
exclusively. At the same time, Bayer expects the new process to provide economic
advantages over the conventional production method.
Waste gas turning into profitable raw material
“CO2 is taking on a new light: The waste gas is turning into a useful and
profitable raw material. That makes us one of the first companies worldwide to
take an entirely different approach to the production of high-quality foams,”
says Patrick Thomas, CEO of Bayer MaterialScience.
The materials manufacturer collaborated with partners from industry and academia
to develop the process, which has been tested intensively over the last two
years. As part of the publicly funded research project “Dream Production”, a
pilot plant at Bayer’s main site in Leverkusen produced smaller quantities of
the precursor polyol, in which the CO2 is
The substance is used for the production of
polyurethane foam. This high-quality material can be found in many everyday
items, including upholstered furniture, automotive parts, refrigeration
equipment and insulation material for buildings. In internal tests, the new
foams show at least the same high quality as conventional material based
entirely on fossil fuels.
Mattresses made with CO2
“After successfully completing the test phase, we are now launching Stage 2 with
the target of commercialization,” says Thomas. The first use of the new
CO2-based flexible foam will be for the production of mattresses.
The planned production facility in Dormagen will
have a capacity of several thousand metric tons.
“This will not be enough to accommodate the market demand, of course. It is
Bayer’s patent-registered technology and we have not yet decided to be the
exclusive producer of this innovative polyol. Licensing might also be a
possibility,” adds Thomas.
CO2 as a new source of carbon
From climate offender to useful material
More than 30 billion tons of CO2 are released
into the atmosphere every year. But this greenhouse gas need no longer be just a
climate-damaging waste product. Researchers headed by Bayer have found a way to
use carbon dioxide as a building block for premium plastics.
Christoph Gürtler carefully pours out a thick, crystal-clear liquid and tips a
yellow chemical into it. Then he adds just a little water to the beaker, a
couple drops of accelerant and gives it all a good stir. After a few seconds, a
green mass rises to the top. It overflows slightly, then hardens: The experiment
is a success!
“This is a common foam,” Gürtler says. “We’ve now made ground-breaking progress
with the help of a new ingredient,” says the Bayer researcher, holding up the
glass containing the clear substance. “There is an entirely new raw material in
here: carbon dioxide.”
Until now, polyurethane foam of this kind – like most things in the chemical
industry – has been manufactured differently, namely using fossil resources:
petroleum, natural gas, coal, biomass. These four substances are the starting
point for some 40 basic chemicals and more than 40,000 chemical products. But
they have disadvantages: Supplies are limited, they are getting increasingly
expensive and they consume a lot of energy when treated in refineries.
Substitute for petroleum
But CO2 is another story. It is virtually ubiquitous and available in unlimited
quantities. Like oil, it incorporates the important element carbon, on which the
entire field of chemistry depends. In other words, this climate-killer has what
it takes to be useful, and Bayer MaterialScience is working on a number of
projects with partners in industry and academia.
The Dream Production research initiative has made the most progress. It is the
proof that incorporating CO2 is not only possible in the lab, but also on an
industrial scale. The carbon dioxide comes from a power
plant near Cologne, Germany, operated by energy company RWE. There it is
removed from the flue gas and liquefied for transportation.
In a pilot plant in nearby Leverkusen, Bayer MaterialScience has been using the
carbon dioxide since early 2011 to manufacture samples of the
polyurethane component polyol. The test foams made
from this substance are just as good as those produced the conventional way
using only petroleum.
“This new process was made possible by a scientific breakthrough,” explains
project manager Christoph Gürtler. “We finally succeeded in finding the
right catalyst after the scientific community spent
decades searching for it.” A catalyst is required to set the reaction in motion.
In other words, the CO₂ has to be given a nudge, because it is chemically inert
and does not react readily on its own with other substances.
The catalyst also limits the energy consumed by the reaction. As a result, the
entire process is ecologically sustainable, as demonstrated by a complex study
conducted by RWTH Aachen University, another partner on the project. “Our
calculations indicate that the new process requires less energy in its life
cycle and thus also emits less CO₂,” explains Professor André Bardow of the
Institute of Technical Thermodynamics.
If the new process continues to produce good results, Bayer intends to start
industrial production in 2015. The first end product to be launched on the
market will be mattresses made from CO₂-based flexible foam. Subsequently, other
types of polyurethane are also to be manufactured by this method.
“Large segments of the industry are already showing significant interest in the
innovative material,” says Frank Grunert, head of Polyurethane Marketing at
Bayer MaterialScience. Bayer is now looking for partners along the value-added
chain to the consumer as the project moves to market maturity.
And research continues as well, for instance in another project called CO₂RRECT
that reaches far into the future. It focuses on combining carbon dioxide and
renewable energies, or more specifically excess electricity from wind turbines,
for which storage capacities are insufficient. The energy can, however, be
stored chemically in the form of hydrogen. An electrolysis process, run on this
excess energy, produces the hydrogen.
Wind power and carbon dioxide
But the project partners headed by Bayer MaterialScience envision much more:
They want to combine hydrogen with power plant CO₂ to obtain chemical
intermediates, which could be used in turn to produce polyurethane or the
performance plastic polycarbonate.
“Our ultimate goal is to manufacture a broad range of plastics from CO₂,
including not only coatings and fibers,” says Gürtler, “but also plastics made
entirely of alternative raw materials. The first products containing no
petroleum at all – that’s our vision.”
Bayer to acquire Dihon Pharmaceutical Group
Co., Ltd. in China
Transaction strengthens Consumer Care
business and moves Bayer HealthCare to a leading OTC position in key growth
Bayer plans to acquire 100
percent of the shares of Dihon
Pharmaceutical Group Co., Ltd.滇虹藥業集團,
China, a privately held pharmaceutical company specializing
primarily in over-the-counter (OTC)
and herbal traditional Chinese
medicine (TCM) products. Dihon is a leading player in
China's OTC industry with products such as Kang Wang® for
the treatment of dandruff ふけand other scalp disorders and Pi
Kang Wang®, an antifungal 抗菌cream,
as well as TCM 漢方薬 product Dan E Fu Kang® for the treatment
of various women’s health indications. Financial details
have not been disclosed. The transaction is subject to
fulfillment of certain conditions, including merger control
clearance, and is expected to close in the second half of
“We aim to strengthen our Life Sciences portfolio with
strategic bolt-on acquisitions globally. We are very pleased
to have identified a consumer health care company in China
with such a strong track record of success built by its
dedicated employee base,” said Dr. Marijn Dekkers, CEO of
Bayer AG. “This acquisition moves us into a leading position
amongst multinationals in the OTC industry in China. It also
brings a portfolio of well-known consumer brands, which will
allow us to provide consumers with an even broader range of
“Adding the strong OTC brands from Dihon to our portfolio
will significantly advance our business in China and
positions us well for future growth,” said Dr. Olivier
Brandicourt, CEO of Bayer HealthCare. “Equally important is
the foothold we will gain in TCM, which makes up about half
of the OTC segment in China and is a well-accepted and
sought after line of natural science-based alternative
therapies for consumers looking for trusted solutions for
their healthcare needs. We think we can leverage our recent
acquisition of Steigerwald in combination with Dihon’s
herbal TCM expertise and pipeline to benefit both these
areas, which have a different but related heritage.”
“Self-care is a critically important component of healthcare
in China and internationally, and OTCs are an important tool
to help people live happier, healthier and longer,” said Dr.
Zhenyu Guo, Chairman & CEO of Dihon Pharmaceutical Group
Co., Ltd. “As such, we’re pleased to have been able to build
a business with brands that bring relief to consumers across
China and other parts of the world. We believe that Bayer,
with its marketing, sales, distribution and research
expertise, is well positioned to take our success to the
next level. This acquisition will further strengthen the
Yunnan pharmaceutical industry and offers the potential to
further expand TCM to other parts of the world.”
Dihon generated sales of 123 million Euro in 2013. The
company employs approximately 2,400 people in R&D,
manufacturing, sales and marketing. In addition to
operations in China, Dihon brands are sold in other
countries such as Nigeria, Vietnam,
Myanmar and Cambodia. Dihon’s headquarters is in
Kunming, China. The company also has several manufacturing
sites throughout China.
About Dihon Pharmaceutical Group Co., Ltd.
Dihon's mission statement is to contribute towards a healthy
world. The company was founded as a joint stock company with
partial foreign ownership in 1997. Today, it is one of the
leading consumer health care companies in Yunnan, China,
providing innovative, effective chemical medicines and
traditional Chinese medicines in 5 areas of medical need:
recurrent oral ulcer口内炎, hyperosteogeny骨過成長,
March 5, 2014
Bayer acquires DuPont aniline plant in Texas
Bayer MaterialScience has acquired DuPont's aniline
production facility in Baytown, TX.
With the acquisition, Bayer assumes responsibility for the facility's direct
operating personnel. Financial terms were not disclosed.
Aniline is a primary feedstock used to
manufacture methylene diphenyl diisocyanate (MDI), a versatile chemical used to
produce rigid polyurethane foams for insulation in the construction industry, as
well as coatings, adhesives, sealants, elastomers and binders.
The aniline facility is located within Bayer's Baytown
plant, the company's largest manufacturing facility in the U.S. and a
critical asset in its global manufacturing portfolio. Adding aniline production
fully integrates the Baytown plant along the MDI value
chain for enhanced production flexibility.
"North America is poised for strong MDI
growth driven by recovery in the construction market, energy code advancement
and home comfort trends," said Craig Caputo, vice president of polyurethanes and
regional product manager for Bayer MaterialScience. "This strategic acquisition
positions Bayer to meet this growing demand while further strengthening our
leadership in the polyurethane industry."
The acquisition also reinforces Bayer's
commitment to the Baytown facility, according to company officials. Over the
last two years, Bayer has invested roughly $120 million in process, reliability,
quality and environmental improvements at the plant, which in addition to MDI
produces toluene diisocyanate (TDI) and polycarbonate.
DuPont is a leading
producer of aniline intermediates and derivatives. We are one of the world's
largest merchant producers of aniline and the only U.S. producer marketing
state-of-the-art hydrogentation technology for Aniline via
hydrogenation of nitrobenzene using a proprietary liquid phase
process. Aniline produced by the liquid phase process minimizes by-products
and offers capital and variable cost savings vs. other technologies.
2014 年9 月18 日– バイエルグループ（本社：ドイツ
独バイエル社長 マライン・デッカーズ氏 Dr. Marijn E.
Bayer のMaterial Science 部門、Covestro として分離独立
1985〜 General Electric
1995〜 Allied Signal
2000〜 COO of Thermo Electron Corporation (2002 President and CEO)
2010〜 Bayer AG (2010 CEO)
May 18, 2016
Monsanto Comments on Recent Media Reports
In response to recent media
reports, Monsanto Company disclosed that it has received an
unsolicited, non-binding proposal from Bayer AG for a
potential acquisition of Monsanto, subject to due diligence,
regulatory approvals and other conditions. The Board of
Directors of Monsanto is reviewing the proposal, in
consultation with its financial and legal advisors. Monsanto
will have no further comment until its Board of Directors
has completed its review. There is no assurance that any
transaction will be entered into or consummated, or on what
Morgan Stanley & Co. and
Ducera Partners are acting as financial advisors, and
Wachtell, Lipton, Rosen & Katz is acting as legal advisor,
---May 19, 2016 Reuters
Bayer makes move for Monsanto in global
German drug and chemicals giant Bayer AG has made an unsolicited takeover offer
for Monsanto Co, the world's biggest seed company, as high inventories and low
commodity prices spur consolidation in the global agrichemicals industry.
Monsanto disclosed the approach on Wednesday before Bayer confirmed its move,
though neither released proposed deal terms.
With Monsanto worth $42 billion by market capitalization, an acquisition would
likely be bigger than ChemChina's February deal to buy Swiss agrichemicals firm
Syngenta AG for $43 billion - a target Monsanto itself pursued last year - and
could face U.S. antitrust hurdles.
Monsanto said in a statement its board is reviewing the proposal, which is
subject to due diligence, regulatory approvals and other conditions. There is no
assurance that any transaction will take place, it said.
Bayer, which has a market value of $90 billion, said in a brief statement that
its executives recently met executives of Monsanto to privately discuss a
negotiated acquisition. A further statement will be made as appropriate, it
The proposal comes as Chinese state-backed ChemChina's deal for Syngenta faces
intensive regulatory review in the United States over concerns about the
security of U.S. food supply. The deal is the largest foreign acquisition ever
by a Chinese company, as Beijing seeks to secure the country's own food supply.
Any deal between Bayer and Monsanto, meanwhile, could raise U.S. antitrust
concerns because of the overlap in the seeds business, particularly in soybeans,
cotton and canola, antitrust experts have said.
However, spurning a deal with Bayer over concerns a tie-up might not receive
antitrust clearance could also pose challenges for Monsanto -
its own bid for Syngenta last year would have meant significant expansion in
Bayer, the inventor of aspirin and maker of Yasmin birth control pills, is a
much more diversified company than Syngenta or Monsanto, with a major life
sciences business. Bayer's crop science division has businesses in seeds, crop
protection and non-agricultural pest control, potentially complementing
Monsanto's seeds assets.
BAYER, BASF AMBITIONS
Both Bayer and its German rival BASF SE have been looking to build scale in
agrichemicals in order to remain competitive. But the role of Monsanto in any
deal has been a sticking point.
Monsanto approached Bayer earlier this year to express interest in the latter's
crop science unit, in the form of an acquisition or joint venture, sources told
Reuters in March.
In a sign of how quickly Bayer turned the tables on Monsanto, the latter's
President and Chief Operating Officer, Brett Begemann, dismissed speculation of
the company being a takeover target for Bayer or BASF at an investor conference
in New York earlier on Wednesday.
"It's all wild speculation because there's nothing there," he said.
Both Bayer and BASF had been exploring tie-ups with Monsanto for several months,
but valuation concerns have made a deal elusive, people familiar had previously
Bayer is ranked No. 2 in crop chemicals, with an 18 percent market share,
according to industry data. The largest, Syngenta, has a 19 percent share.
Monsanto is the leader in seeds, with a 26 percent market share, followed by
DuPont, with 21 percent. DuPont agreed last year to merge with Dow Chemical.
Morgan Stanley & Co and Ducera Partners are acting as financial advisors to
Monsanto, the company said in its statement, while Wachtell, Lipton, Rosen &
Katz is acting as legal advisor.
Jan 12, 2017
Bayer says had productive meeting with Trump over Monsanto deal
German drugs and pesticides maker Bayer, which will need regulatory approval for
its $66 billion deal to buy U.S. seeds giant Monsanto, said company chief
executives had a productive meeting with U.S. president-elect Donald Trump.
Trump talked to Bayer Chief Executive Werner Baumann, Monsanto CEO Hugh Grant
and some of their advisers in New York, his transition team said on Wednesday,
part of meetings before he takes office later this month.
"It was a productive meeting about the future of agriculture and the need for
innovation," a Bayer spokesman said on Thursday, declining to provide more
details for the moment.
The fate of major proposed mergers, not just Bayer-Monsanto but also Dow
Chemical and DuPont, which plan to spin off their combined agriculture
businesses, will be decided by Trump's nominees to lead antitrust enforcement at
the Justice Department and the Federal Trade Commission.
Antitrust and industry experts see the regulatory hurdles to a deal as
manageable because Bayer's main business in agriculture is pesticides while
Monsanto's focus is on genetically modified seeds.
Under such a scenario, Bayer could at worst be asked to divest soybean, cotton
and canola seed assets as well as LibertyLink-branded crops that are resistant
to its glufosinate herbicide, an important alternative to Monsanto's Roundup
But uncertainty remains over what regulators will make of the merged group's
grip of the overall agriculture market, with a combined market share in seeds
and pesticides of about 28 percent.
Critics argue this dominant market position will allow it to crimp research and
development efforts. Bayer has said that much needed innovation will come from
combined seeds-chemicals offerings and that it needs to merge to compete against
other integrated suppliers such as the future Dow-Dupont.
The meeting took place on the day of Trump's first news conference as
president-elect, which also saw him slam drug companies as "getting away with
murder" in what they charge the government for medicines.
Bayer, the inventor of aspirin, is among the world's top 20 pharmaceutical
groups, with products including Yasmin birth-control pills and stroke prevention
January 18, 2017
Bayer-Monsanto Pledge Investment, Jobs After
Bayer AG and Monsanto Co. promised President-elect Donald Trump
$8 billion of investment in the U.S. and thousands
of new jobs should the companies’ planned merger, the biggest-ever in
agriculture, clear regulatory approvals.
Bayer Chief Executive Officer Werner Baumann promised to
add 3,000 jobs at Monsanto while keeping its headquarters in St. Louis
after the deal is completed, Trump spokesman Sean Spicer said Tuesday.
Both companies had previously announced their intention to keep the location of
the Monsanto offices, but the commitment on jobs is new, and follows a visit
last week by both Baumann and Monsanto CEO Hugh Grant to Trump and his aides in
New York. The CEOs said in a joint statement that "several
thousand new high-tech well-paying jobs" will be added after the
integration of the two companies.
U.S. businesses are facing more pressure to show that they’re creating American
jobs ahead of Friday’s scheduled inauguration of Trump, who made the issue a
signature of his campaign. Earlier on Tuesday, he praised General Motors Co. for
a $1 billion American investment plan, having criticized the company earlier in
January for importing some models from Mexico.
On Tuesday, Wal-Mart Stores Inc. also boasted about job growth. Ford Motor Co.
and Fiat Chrysler Automobiles NV announced spending plans last week that Trump
The proposed $66 billion takeover of Monsanto by Germany’s Bayer would create
the world’s largest producer of pesticides and genetically modified seeds. The
merged company expects to spend about $16 billion in research and development in
agriculture in the next six years, with at least half of the investment made in
the U.S., Bayer and Monsanto said in their statement Tuesday. The two companies
spent about $5.9 billion combined on R&D in 2015, data compiled by Bloomberg
Trump rode to his election victory partly on strong backing from rural voters,
which could increase the President-elect’s desire to bring an economic
turnaround for those supporters. A year ago, Monsanto announced that it would
shed 3,600 jobs, or about 16 percent of its global workforce, in a bid to lower
costs. The company is already the world’s biggest seed producer.
Agricultural companies could also come under increased scrutiny as a wave of
mega-deals announced in the past year has the potential to transform the
industry. Critics have raised antitrust concerns about Bayer-Monsanto, but the
companies have argued the merger will speed innovation and help farmers increase
The National Farmers Union, the second-biggest U.S. farm group, is among those
that oppose the deal. In a statement Tuesday, it said the meeting between the
CEOs and president-elect “is deeply disturbing if it leads to an approval of the
Bayer-Monsanto acquisition by the incoming Trump Administration.”
Still, the meeting is “positive” for getting U.S. approval, though the merger
still needs regulatory approval in other countries, Chris Shaw, an analyst at
Monness Crespi Hardt & Co. in New York, said by phone.
Bayer and Monsanto’s plan to stay and invest in the U.S. Midwest is key to its
business, since it would market to farmers, but also lines up with Trump’s
rhetoric, said Jason Miner, an analyst at Bloomberg Intelligence in Skillman,
“It’s good politics and good business strategy at once,” Miner said.
May 8, 2017
Bayer to sell Liberty crop protection brands to get Monsanto deal passed
Bayer has agreed to sell its Liberty herbicide and
LibertyLink-branded seeds businesses to win
antitrust approval for its acquisition of Monsanto, it said on Monday May 8.
The divestment of the two global brands, a requirement
imposed by South Africa's Competition Commission on Sunday, will account
for the bulk of asset sales worth about $2.5 billion which need to be made to
satisfy competition regulators looking at the $66 million Monsanto deal, sources
close to the matter have said.
"Bayer has agreed to these conditions and is evaluating how best to execute the
imposed divestiture," the German group said in its statement.
It would not comment on revenues, number of affected staff or the value of the
While South Africa is a relatively small market for the two global agricultural
supplies giants, the move marks the first time for Bayer to acknowledge it has
to sell the two related Liberty brands, which compete with
Monsanto's Roundup weed killer and Roundup Ready seeds.
The planned divestitures are also widely expected to be required by competition
regulators in larger jurisdictions, such as the United States, where approval
has been requested, and the European Union, where an application for approval
has yet to be made.
"Bayer will continue working with regulators globally with a view to receiving
approval of the proposed transaction by the end of 2017," the company said,
reaffirming an earlier goal.
LibertyLink seeds, mainly used by soy, cotton and canola growers, are an
important alternative to Roundup Ready seeds for farmers suffering from weeds
that have developed resistance to the Roundup herbicide, also known as
The spread of Roundup-resistant weeds in North America has been a major driver
behind Liberty sales.
Monsanto, for its part, has responded by combining Roundup with older weed
killer dicamba to finish off the Roundup-resistant weeds, while selling farm
crops that withstand the plant-killing effects of both compounds.
As part of a global investment drive worth hundreds of millions of euros to
double the global output capacity of Liberty since 2013, Bayer has built a
production plant in Mobile, Alabama, to complement an existing facility in
Bayer signs agreement to sell selected Crop
Science businesses to BASF for EUR 5.9 billion
Milestone on Bayer’s path to completing the planned acquisition of Monsanto
Package includes global glufosinate-ammonium
business and selected seeds activities /
Assets generated total sales of EUR 1.3 billion in 2016 /
Sale is subject to successful closing of Bayer’s acquisition of Monsanto
BASF has committed to maintain employment for all transferring permanent
employees for at least three years post closing
In light of the planned acquisition of
Monsanto, Bayer has signed an agreement to sell selected Crop Science
businesses to BASF for EUR 5.9 billion. The
assets to be sold generated net sales of approximately EUR 1.3 billion
in 2016. “We are taking an active approach to
address potential regulatory concerns, with the goal of
facilitating a successful close of the Monsanto transaction,” explained
Werner Baumann, Chairman of the Board of Management of Bayer AG. “At the
same time, we are pleased that, in BASF, we have found a strong buyer
for our businesses that will continue to serve the needs of growers and
offer our employees long-term prospects.” The transaction is subject to
regulatory approvals as well as the successful closing of Bayer’s
acquisition of Monsanto.
The assets to be sold include Bayer’s global
glufosinate-ammonium business グルホシネートアンモニウム塩：非選択性のアミノ酸系除草剤 and
the related LibertyLink™(Bayerの除草剤 Liberty
に耐性をもつ作物) technology for herbicide
tolerance, essentially all of the company’s field crop seeds businesses,
as well as respective research and development capabilities. The seeds
businesses being divested include the global
cotton seed business (excluding India and South Africa), the
North American and European canola seed businesses
and the soybean seed business. The transaction includes the
transfer of relevant intellectual property and facilities, as well as
more than 1,800 employees primarily in the United States, Germany,
Brazil, Canada and Belgium. As part of the agreement, BASF has committed
to maintain all permanent positions, under similar conditions, for at
least three years after closing of the transaction.
“We are very grateful to our employees, who have played a key role in
the success of these businesses over the years,” said Baumann. “At the
same time, we are aware of the need to address certain overlaps in the
combined product portfolio of Bayer and Monsanto.” Bayer continues to
work diligently with the relevant authorities with the aim of closing
the planned acquisition of Monsanto by early 2018.
“With this acquisition, we are seizing the opportunity to purchase
highly attractive assets in key row crops and markets. We look forward
to growing these innovative and profitable businesses and to welcoming
the experienced and dedicated team in crop protection, seeds and traits.
These businesses are an excellent match for BASF Group’s portfolio,”
said Dr. Kurt Bock, Chairman of the Board of Executive Directors of BASF
“I am very pleased that, in BASF, Bayer has selected an acquirer that,
like our company, attaches a great deal of importance to social
partnership and values its employees. I welcome the fact that BASF has
committed to offering comparable employment conditions for our
colleagues,” said Oliver Zühlke, Chairman of the Bayer Central Works
Bayer will continue to own, operate and maintain these businesses until
the closing of this divestiture. After the closure of the planned
Monsanto acquisition, Bayer will continue to be active in these same
areas as a result of Monsanto’s current programs, products and
The base purchase price of EUR 5.9 billion excludes the value of any net
working capital and will be subject to customary adjustments at closing,
including the value of any inventories transferred to BASF. Bayer will
use net proceeds from the announced divestiture to partially refinance
the planned acquisition of Monsanto. Bayer will provide an update on the
total expected synergies from the Monsanto acquisition latest upon
closing of the transaction.
BofA Merrill Lynch and Credit Suisse are acting as financial advisors to
Bayer. Bayer’s legal advisors are Sullivan & Cromwell, Dentons, Cohen &
Grigsby and Redeker, Sellner & Dahs.
EUは2017年8月22日、本件についてのin-depth investigation を開始した。
Oct 13, 2017 BASF
BASF signs agreement to acquire significant
parts of Bayer’s seed and non-selective herbicide businesses
- Strengthens and
expands BASF’s Agricultural Solutions offer
- Attractive and
targeted portfolio additions in key row crops in
- Underpins BASF’s
commitment to agriculture, innovation and long-term
BASF has signed an
agreement to acquire significant parts of Bayer’s seed
and non-selective herbicide businesses. Bayer intends to
divest these assets in the context of its planned
acquisition of Monsanto. The all-cash purchase price is
€5.9 billion, subject to certain adjustments at closing.
The assets to be acquired include Bayer’s global
glufosinate-ammonium non-selective herbicide business,
commercialized under the Liberty®, Basta®
and Finale® brands, as well as its seed
businesses for key row crops in select markets: canola
hybrids in North America under the InVigor®
brand using the LibertyLink® trait
technology, oilseed rape mainly in European markets,
cotton in the Americas and Europe as well as soybean in
the Americas. The transaction also includes Bayer’s
trait research and breeding capabilities for these crops
and the LibertyLink® trait and trademark.
For the full year
2016, sales of the business to be purchased from Bayer
amounted to around €1.3 billion and EBITDA to around
€385 million. The transaction is subject to the closing
of Bayer’s acquisition of Monsanto and approval by
relevant authorities. It is expected to close in the
first quarter of 2018.
investment, we are seizing the opportunity to acquire
highly attractive assets in key row crops and markets.
It will be a strategic complement to BASF’s
well-established and successful crop protection business
as well as to our own activities in biotechnology,” said
Dr. Kurt Bock, Chairman of the Board of Executive
Directors of BASF SE. “The acquisition will further
enhance our agricultural solutions offer, which is a
core pillar of BASF’s portfolio.”
complements BASF’s crop protection business,
strengthening the company’s herbicide portfolio and
marking its entry into the seed business with
proprietary assets in key agricultural markets.
“Building on the competent new team members and the
enhanced portfolio, we will offer farmers a greater
choice of solutions addressing their needs for
high-quality seeds, chemical and biological crop
protection,” explained Saori Dubourg, Member of the
Board of Executive Directors of BASF SE and responsible
for the Agricultural Solutions segment. “Moreover, this
transaction will create new opportunities for future
growth and strengthen our global innovation potential.”
More than 1,800
commercial, R&D, breeding and production personnel shall
transfer from Bayer to BASF. These employees are
primarily located in the United States, Germany, Brazil,
Canada and Belgium. Furthermore, BASF will acquire the
manufacturing sites for glufosinate-ammonium production
and formulation in Germany, the United States, and
Canada, seed breeding facilities in the Americas and
Europe as well as trait research facilities in the
United States and Europe. “We look forward to welcoming
our new colleagues to BASF. As highly experienced,
dedicated and motivated professionals they will enrich
our team with their expert knowledge in crop protection,
seeds and traits. Together, we will shape the long-term
success of BASF, serving the needs of farmers around the
globe,” said Markus Heldt, President of BASF’s Crop
January 11, 2018