A PYMNTS Company

Germany: Bayer to sell US$3.7b of new shares to Temasek

 |  April 17, 2018

Bayer said late Monday, April 16, that it would sell new shares to investment company Temasek for roughly €3 billion (US$3.7 billion); the proceeds of which Bayer will use to help finance its takeover of Monsanto.

The German drugmaker stated that under the agreement, Bayer is to issue to a subsidiary of Temasek at an at-market price the new registered (no-par value) shares with an entitlement to dividends as of January 1, 2017.

The company said that on completion of the capital increase, together with its existing shareholdings in Bayer, Temasek will hold approximately 4% of the issued capital stock of Bayer. The shares issued to Temasek will not be subject to any lock-up period.

“We are very pleased that Temasek has significantly increased its holding in our company. Temasek takes equity positions in leading companies globally and is a long-term investor. This investment affirms our business strategy including the proposed acquisition of Monsanto, as well as Bayer’s strong growth prospects,” said Bayer CEO Werner Baumann.

Full Content: The Online Citizen

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.