NEW YORK - Bayer Corp., commonly known throughout the country as the producer of Aspirin, has now become part of another well-known American name -- the New York Stock Exchange.
As of today, Jan. 24, Bayer's stock is traded on the New York Stock Exchange, along with thousands of other companies. "Our stock belong here," explained Manfred Schneider, Bayer's CEO, adding that having U.S.-based stock will offer the company a number of advantages, particularly relating to making acquisitions. Now the company will be able to use its stock (trading under the stock symbol "BAY") as an acquisition currency for future deals, something that was more difficult to do in the past when its stock only traded internationally. The listing will also give Bayer the chance to offer stock ownership programs for its U.S. employees.
In conjunction with this announcement, Schneider outlined the company's reorganization plans, which are due to be finalized by Jan. 1, 2003. Essentially, the company will be split into four independent operating subsidies that function under one management holding company. According to a news release from the company, Bayer executives expect this move will "give the group the flexibility it needs to acheive greater agility in its markets
and boost its international competitiveness." The four groups will be: pharmaceuticals, biologicals, consumer care, and diagnostics and animal health.
Bayer's lawn care business will be part of an even larger crop science division, and this group will grow considerably when the company finalizes its largest acquisition ever -- Aventis CropScience (also known in the lawn care industry as Chipco Professional Products) -- this year. Antitrust authorities are expected to finalize their review of the deal by the end of March.
