Bayer Gets €3 Billion Apollo Investment, Retains Control of Contraceptives Unit
Bayer Secures Strategic Investment for LARC Business
Investment Details
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.
Ownership Structure
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."
Integration with Pharmaceuticals Division
The business will remain part of the pharmaceuticals division's core operations and stay fully consolidated in group accounts, Bayer said.
Financial and Strategic Implications
Comments from Bayer CFO
Bayer Chief Financial Officer Judith Hartmann said the transaction was a "strategic financing solution" that would strengthen the balance sheet and enhance financial flexibility as the group manages "increased liquidity requirements this year related to bond maturities and litigation procedures."
Deal Timeline and Conditions
The deal is expected to close in the third quarter of 2026, subject to antitrust approval and customary conditions, Bayer said.
Additional Information
Exchange Rate
($1 = 0.8741 euros)
Reporting Credits
(Reporting by Danny Callaghan; Editing by Emelia Sithole-Matarise)
