Bayer gets €3 billion in Apollo deal for contraceptives unit
Bayer will keep control of the business as the deal adds equity to support its balance sheet and litigation expenses, the company said.
- Bayer sold a minority stake in its contraceptives business to Apollo Global Management Inc. for €3 billion on Friday, retaining "complete operational control" of the unit, which includes Mirena.
- The deal helps Bayer manage ballooning litigation costs tied to its Roundup herbicide, for which the company raised provisions to €11.8 billion in February as Bayer Chief Executive Officer Bill Anderson works to improve the company's financial position.
- Bayer Chief Financial Officer Judith Hartmann described the transaction as a "strategic financing solution," citing "increased liquidity requirements this year related to bond maturities and litigation procedures" as primary drivers.
- Shares of Bayer rose as much as 2% on Friday, marking the latest private capital financing for Apollo, which has increasingly identified Europe as a key growth market.
- Apollo-Managed funds have established a substantial footprint in European energy infrastructure, including a $6.5 billion commitment to offshore wind projects, while President Jim Zelter noted last year the firm could deploy up to $100 billion in Germany over the next decade.
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The Apollo Global manager bought a minority stake in Bayer's long-term reversible contraceptive business for 3 billion euros, informed companies on Friday (10). Exclusive material for subscribers. To have full access, access the link of the subject and register.
The pharmaceutical company Bayer has concluded an agreement with the asset manager Apollo with a value of 3 billion euros under which the fund will acquire a minority stake in a new entity that will manage the long-term reversible contraceptive business of the German laboratory. Bayer will maintain operational control of the business and ... Continue reading "Apollo, owner of the Atlético de Madrid, will invest 3 billion with Bayer in a new cont…
Bayer gets €3 billion in Apollo deal for contraceptives unit - Regional Media News
July 10 (Reuters) - Bayer said on Friday it had secured €3 billion ($3.4 billion) in equity from Apollo-managed funds in a deal tied to its long-acting reversible contraceptives, or LARC, business, aiming to bolster its capital structure while preserving control. Apollo funds and affiliates would take a minority, non-controlling stake in a new entity holding the LARC business, while Bayer keeps a majority stake and "complete operational control.…
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