Industry watchers are keeping a close eye on Bayer's big divestment plans, which involve jettisoning its plastics unit before mid-2016. But meanwhile, it's getting a jump on the slim-down process with the sale of its diabetes care business.
The long-rumored sale of Bayer's diabetes device business to Panasonic Healthcare looks like it's finally coming to fruition after speculation stretching back at least to early this year. Bayer has said it will sell its Diabetes Care business to Panasonic Healthcare for €1.022 billion ($1.16 billion) in a deal expected to close during the first quarter of next year.
KKR-backed Panasonic Healthcare clinched a deal to buy Bayer's Diabetes Care unit in months of dealmaking that saw sources suggest an offer range of $2.3 billion to $830 million and included a reported bid by China's Sinocare for $1 billion.
Bayer has had a tough time winning approval from U.K. cost-effectiveness gatekeepers for its prostate cancer therapy Xofigo. Now, the company is celebrating a bright point for Xofigo as NICE changed its tune and backed the drug for certain patients.
New survey data show that 68% of men--nearly 7 in 10--sometimes ignore the symptoms of prostate cancer, putting off treatment for advanced forms of the disease. For Bayer--which markets cancer drug Xofigo to treat metastatic castration-resistant prostate cancer--that's far too many.
The U.K.'s cost-effectiveness gatekeeper, the National Institute for Health and Care Excellence (NICE), has bestowed its favor on a crop of new drugs, granting nods to contenders from Roche, Novartis and Bayer.
Bayer may be looking at a potential cash infusion, as it prepares to divest its MaterialScience unit and likely take it public by mid-2016. Bayer just might use that cash to make an acquisition in animal health.
Bayer has seen many an M&A opportunity come and go when it comes to bolstering its animal health unit. But once it jettisons its plastics unit--a move that could generate some extra dough--it might finally be ready to strike a deal.
German pharmaceutical giant Bayer said it expects to spend $3.4 million to expand its Indonesian production capacity for effervescents this year.
As Bayer moves closer to hiving off its plastics businesses and becoming a life sciences-focused company, a restructuring is afoot, the company said Wednesday. But it's one that won't cost the drugmaker any staff positions.