The controversial boss Werner Baumann will vacate the post this summer. The ex-pharmaceutical boss of Swiss rival Roche, Bill Anderson, is to take over at the beginning of June.
(Photo: dpa)
Dusseldorf The chemical union IG BCE warns of a break-up of the group after an announced change of boss at Bayer. “From the employees’ point of view, Bayer with its three pillars is perfectly positioned for the challenges of the future,” said Francesco Grioli, board member of the union and Bayer supervisory board, of the “Rheinische Post” (Saturday edition).
This refers to the pharmaceutical business with prescription drugs, the consumer health area with over-the-counter drugs and the agricultural business. “Industry transformation can only be managed with a corporate policy based on risk diversification and sustainability – and not on hedge fund activism.”
The background is the change of head of the pharmaceutical and agrochemical group announced on Thursday. The controversial boss Werner Baumann will vacate the post this summer. The ex-pharmaceutical boss of Swiss rival Roche, Bill Anderson, is to take over at the beginning of June.
Baumann has been criticized for a long time. The 2018 takeover of the US seed manufacturer Monsanto for 63 billion dollars depends on the manager. With the purchase, the Leverkusen-based company had brought expensive legal disputes into the house about alleged cancer risks from the weed killer glyphosate. Bayer stock has been falling for years. In 2019, the shareholders even refused to discharge the CEO at the annual general meeting.
It has long been known that Baumann is not looking to extend his contract, which was supposed to run until 2024. Long-term strategic investors had exerted the pressure. Most recently, several activist Anglo-Saxon investors such as Bluebell Capital got involved. According to a media report, Bluebell is pushing for the group to be split up.
The very small fund with an unknown stake in Bayer is known for aggressive action. A spin-off “of the Consumer Health division would be a possible way to increase the company’s value,” said Markus Manns, fund manager at Union Investment, the “Rheinische Post”. On the other hand, he does not consider a spin-off of the much larger agricultural division Crop Science to be feasible.
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