|Bid||69.19 x 28400|
|Ask||69.24 x 2100|
|Day's Range||68.72 - 69.50|
|52 Week Range||52.02 - 73.17|
|Beta (3Y Monthly)||1.16|
|PE Ratio (TTM)||N/A|
|Earnings Date||Feb 27, 2020|
|Forward Dividend & Yield||2.80 (4.07%)|
|1y Target Est||120.99|
Bayer shares were up on Wednesday But so were the number of US plaintiffs mounting lawsuits against it. 42,700 is more than twice the tally in July ... Potentially raising the level of any future settlement ... With users of Round-up and other glyphosate weedkillers who blame them for their cancer. Bayer has steadfastly argued that glyphosate is safe ... Chief executive Werner Baumann even appeared in a special video in March. (SOUNDBITE) (English) CEO OF BAYER AG, WERNER BAUMANN, SAYING: "We will continue to defend this product vigorously. Glyphosate also has an immense importance for the global food supply." But it is the alleged impact on the food supply and the environment too That has led to multiple protests against the German firm - including a "die-in" in France in May .... And against Monsanto - who Bayer bought last year - and Round-up with it - for 63 billion dollars ... Bayer's results for Q3 show a 7.5 per cent rise in earnings to around 2.6 billion dollars - in line with the market view. A stock price which has lost around 30 per cent since August rose nearly two percent on its earnings news As for its potential glyphosate liabilities: the first three US court rulings awarded tens of millions of dollars to each plaintiff. Analysts currently estimate the size of a future settlement at eight to 12 billion dollars.
France's health and environment agency said on Monday it was banning dozens of glyphosate-based weedkillers, most of the volume of such products sold in France, ruling there was insufficient data to exclude health risks. The ANSES agency was withdrawing the marketing licence for 36 products which would no longer be authorised for use after the end of next year, it said in a statement. The products accounted for nearly three-quarters of the volume of glyphosate products sold last year in France, the European Union's biggest agricultural producer, it said.
Germany's Bayer has agreed with plaintiffs to postpone its next two U.S. lawsuits over the alleged cancer-causing effects of its glyphosate-based weed killers to allow more time for talks on a settlement. The company, which is facing 42,700 U.S. plaintiffs, is widely expected to eventually buy itself out of the litigation, with analysts currently estimating the size of a future settlement at $8-$12 billion. Bayer agreed with the plaintiff to delay for about six months a case in the California Superior Court for Lake County scheduled for Jan. 15, a company spokesman said in a written statement.
The transaction is a securitization program sponsored by Bayer S.A. (Bayer Brazil, not rated), a subsidiary of Bayer AG (long-term rating Baa1, global scale, outlook negative). The transaction is a 3-year revolving securitization program to provide financing to agricultural producers and distributors of agricultural inputs to acquire defensives and other products provided by Bayer Brazil. The transaction has an overcollateralization trigger which prevents the acquisition of new receivables when the Senior CRA represents more than 85% of the non-delinquent assets, unless Bayer Brazil repurchases those delinquent assets in order for the Senior CRA to maintain the minimum overcollateralization level.
(Bloomberg Opinion) -- Drugmakers have spent years de-emphasizing heart medications in favor of higher-priced treatments for cancer and rare diseases. As America enters its most caloric season, it looks like that is starting to change, for now. Novartis AG made a particularly large commitment Sunday with its $9.7 billion purchase of Medicines Co. and its promising new cholesterol drug. Meanwhile, biotechnology company Amarin Corp.’s bet on its fish-oil-derived capsule Vascepa is starting to pay off: Its shares soared earlier this month after a Food and Drug Administration panel recently suggested the pill — which was shown to cut cardiac risk in a huge trial last year — be made available to millions of additional patients. Heart medicines are also key pipeline components or sales drivers at a number of big pharmaceutical companies as well, from Merck & Co. and Bayer AG to Pfizer Inc.Investment in cardiac medicines is positive for patients and public health; after all, heart disease remains the most significant cause of death in the U.S. There’s a reason that drugmakers had backed away, however. These companies will have to navigate a harsh market environment to keep this mini-renaissance alive. Effective heart disease medicines, including statins for cholesterol and drugs for high blood pressure, have become much cheaper as generic options have hit the market. That’s excellent for patients and health budgets, as expanded use of these drugs has been impactful enough to slow Medicare spending growth. But it makes things difficult for newer, higher-priced medicines to make inroads. Next-generation drugs need to prove they can add something on top of or substantially outperform cheaper options to have a chance at anything but niche success. They sometimes still struggle even if they do. Cardiovascular drugs take time to have an impact, and the American health-care system isn’t patient. People change health insurance all the time as they swap or lose jobs, pick a new plan, or have one selected for them. Health plans often focus on annual costs and don’t always want to pay extra for an uncertain benefit that might eventually save someone else money. That tendency is most pronounced in large markets, where rapid uptake of a new drug translates into substantial spending increases.Two relatively new cholesterol drugs — Praluent, from Sanofi and Regeneron Pharmaceutical Co., and Amgen Inc.’s Repatha — are the most significant recent cautionary tales. They were both approved in 2015 with high expectations and are effective medications, but the market balked at their high price and threw up barriers to access. The result was a glacial launch. Sales remain sluggish even after major price cuts. Medicine Co.’s inclisiran lowers cholesterol at a similar rate by using the same drug target as those medicines but requires far less frequent dosing. Novartis will have to find out whether convenience is enough to command a premium price and avoid the same commercial fate. As for Amarin, a drug-price watchdog called Vascepa a rare cost-effective option for heart disease earlier this year. That doesn’t guarantee a rapid ascent to blockbuster sales. The drug’s future is partially in the FDA’s hands. The exact language of the agency’s expanded approval will help determine how many new patients will get access. The bigger part is arguably once again up to health plans. They will decide how strictly to interpret the FDA’s guidelines, and whether patients will have to jump through hoops to get the medicine. The size of the potential patient population may inspire them to clamp down, cost-effectiveness be damned. The barriers to heart drugs are navigable. Novartis was likely inspired to pay up for Medicines because it managed the feat with its heart-failure treatment Entresto. Sales of the drug started extremely slowly, but are now growing at a respectable clip. There is a clear opportunity in this somewhat neglected space. Profiting from it might require a high risk tolerance and an extra measure of patience. To contact the author of this story: Max Nisen at firstname.lastname@example.orgTo contact the editor responsible for this story: Beth Williams at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Max Nisen is a Bloomberg Opinion columnist covering biotech, pharma and health care. He previously wrote about management and corporate strategy for Quartz and Business Insider.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
The Department of Justice said late Thursday that Monsanto sprayed Penncap-M, which contained the banned pesticide methyl parathion, on research crops in 2014, despite knowing that the Environmental Protection Agency prohibited its use after 2013. It also said Monsanto, now part of Germany's Bayer AG, admitted it let employees enter the sprayed fields after seven days despite knowing it should have waited 31 days.
A Chinese national who worked for Monsanto before it was purchased by Bayer AG was charged in St. Louis, Missouri, on Thursday with stealing trade secrets for China, the U.S. Justice Department said. Haitao Xiang, 42, an employee of Monsanto and its Climate Corp subsidiary from 2008 to 2017, was stopped by federal officials at a U.S. airport before he could board a flight to China carrying proprietary farming software, the department said in a statement. "The indictment alleges another example of the Chinese government using Talent Plans to encourage employees to steal intellectual property from their U.S. employers," Assistant Attorney General John Demers said.
(Bloomberg Opinion) -- And then there were none.Almost exactly a year after Unilever NV announced the departure of chief executive officer Paul Polman, the consumer goods giant’s chairman Marijn Dekkers is stepping down with immediate effect. Nils Andersen, a non-executive director since 2015, will replace him.In one sense it’s a natural time for a change. Dekkers has overseen the CEO succession, with Alan Jope starting last January. Unless something goes horribly wrong, that should be off the agenda for some time. Yet it jars that the chairman is leaving the post immediately after filling it for just three years.Unilever says he wants to concentrate on his responsibilities as founder and chairman of Novalis LifeSciences, an investment and advisory firm for the drugmaking industry. Novalis recently raised $85 million and plans to invest in at least eight companies. The suggestion was that this didn’t leave much time for leading the board of Unilever, whose market value is 147 billion euros ($162 billion).Dekkers, a former CEO of Bayer AG, will stay as a non-executive director. It’s strange nonetheless that Unilever didn’t wait until its annual shareholder meeting in April before standing him down. It’s hard not to link the wholesale change at the top of the Anglo-Dutch company to its botched attempt to simplify into a single Netherlands-based organization.After this unification effort was abandoned last year, the future of Unilever’s dual-headed corporate structure is unresolved. Andersen will need to address this, especially if the company wants to spin off its food business or use its shares to make a big acquisition in the U.S. Having two classes of shares makes this more difficult.That the new chairman is neither British nor Dutch (he’s Danish) is helpful given that the future domicile will probably be on the agenda again. However, hiring an outsider would have been better still for tackling such a profound question; Jope is a Unilever lifer.The new CEO may now find himself confronted by a stronger chairman given that Dekkers was damaged by the unification debacle. Andersen has relevant experience too: He was chief executive of the brewer Carlsberg A/S between 2001 and 2007.Jope has a difficult enough task in accelerating sales growth, which has been stubbornly sluggish despite Unilever’s strong portfolio of brands and enviable emerging market exposure. Making a success of the company’s many acquisitions, from fake meat to premium laundry, is another priority. Integrating these businesses, often created by entrepreneurial founders, into the Unilever culture isn’t easy.Longer term, Jope and Andersen must decide whether to stick with the food business after Unilver sold its spreads arm in 2017, or whether to go all in on the faster growing beauty and personal care brands. If they do decide on radical change, it will need to be better executed than the plan to ditch the British headquartersTo contact the author of this story: Andrea Felsted at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Moody's Investors Service ("Moody's") has today assigned a Baa3 long-term rating to the new hybrid securities (the "Hybrids") to be issued by Bayer AG ("Bayer"). The rating of Baa3 is two notches below Bayer's Baa1 senior unsecured rating. This reflects the deeply subordinated ranking of the new hybrid securities in relation to the existing senior unsecured obligations of Bayer or those issued by its subsidiaries and guaranteed by Bayer.
German chemicals association VCI on Wednesday said it saw no positive signals for the chemical industry after reporting a 2.4% drop in third-quarter revenues, citing a weakening auto market, a drop in domestic orders and sluggish global growth. "The situation for the chemical industry is not easy," VCI President Hans Van Bylen said. Production in the chemical and pharmaceutical industries, which are significant contributors to Germany's gross domestic product, fell 0.6% in the third quarter of the year, VCI said, adding that falling prices weighed on third-quarter revenues.
Bayer Shows Strength Across Portfolio as Litigation Concerns Continue Bayer BAYRY reported third-quarter results largely in line with our projections. We continue to view the company as undervalued, with the market attributing too much concern to the ongoing glyphosate litigation.
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Bayer AG and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
Germany's Bayer is now facing 42,700 U.S. plaintiffs blaming its glyphosate-based weedkillers for their cancer, more than twice the tally in July and potentially raising any future settlement. Bayer, the inventor of aspirin and owner of Yasmin birth control and Claritin allergy relief brands, is widely expected to eventually buy itself out of the litigation, with analysts currently estimating the size of a future settlement at $8-$12 billion. "The number of lawsuits, first and foremost, doesn't tell us anything about their merits," Chief Executive Werner Baumann said in a media call.