Bayer shares slump as it seeks shareholders' approval of capital hike

Shares in Bayer BAYGn.DE slump about 7.4% after it said it was seeking shareholder approval to raise fresh equity capital worth 875 million euros ($949 million)

"Perhaps the biggest problem at first was the shock at the sheer amount," a German trader says, adding the shares should gradually calm down

The authorized capital would therefore be equal to just under 35% of the current capital stock and be used only to preserve the business interest of the company, Bayer says

The authorized capital could also be used in future in view of potential settlements with plaintiffs in the U.S. regarding claims linked to Monsanto's herbicide Roundup, it adds

Shares are on track for their worst day since mid-Nov 2024

($1 = 0.9217 euros)