Bayer's Balance Sheet Gets a Double Boost From Stivarga Sale and €2 Billion Hybrid Issue

Bayer placed €2 billion in 30-year hybrid bonds, agreed to sell Stivarga to Grünenthal for up to €375 million, and awaits a Missouri Roundup settlement ruling.

Bayer is pressing ahead with a broad overhaul on three fronts at once: shedding non-core medicines, shoring up its balance sheet with long-dated debt, and waiting on a US court to sign off on the legal settlement that will shape its finances for years to come. The stock traded at €50.06 in pre-market action, and its year-to-date advance now stands at 35% — a notable rebound after a prolonged stretch of weakness.

A €2 Billion Debt Raise, Split in Two

The most recent piece of the financing puzzle is a hybrid bond placement worth a total of €2 billion, carved into two tranches of €1 billion each. Both carry 30-year maturities, with fixed coupons of 5.75% and 6.25% and non-call periods of six and nine years respectively. Proceeds are earmarked for general corporate purposes, giving the group additional financial headroom.

Subordinated hybrid capital is a familiar tool for industrial companies looking to keep rating agencies onside without diluting shareholders through a fresh equity issue. With the new paper sold, Bayer's total outstanding hybrid bond volume rises to €6.55 billion.

Amundi Lifts Its Stake

Institutional investors appear to be taking note. French asset manager Amundi S.A. raised its voting rights in Bayer to 3.04%, up from 2.96% previously, with the threshold crossing dated 14 September 2026. The move points to growing commitment from large institutional holders at a moment when the company is reworking its capital structure.

Grünenthal Deal Adds Cash

Alongside the refinancing, Bayer is trimming its pharmaceutical portfolio. On 21 September the company agreed to sell the cancer drug Stivarga to Grünenthal for as much as €375 million. The transaction is subject to customary conditions, most notably regulatory clearances, and the parties expect it to close around the end of 2026 or the start of 2027.

Missouri Ruling Still Pending

Overshadowing these operational and balance-sheet steps is the litigation tied to the glyphosate-based weedkiller Roundup in the United States. Roughly two weeks ago, a court hearing in Missouri resumed on final approval of the proposed Roundup settlement, which provides for payments of up to $7.25 billion spread over as many as 21 years. Monsanto, Bayer's subsidiary, asked a US judge in the state to grant final approval, according to Reuters. No immediate ruling had been anticipated, and no decision on the settlement's validity was issued once the hearing days concluded. The stock has gained 2.8% since that hearing.

That settlement remains the single most important variable for Bayer's future planning certainty. Only once the Missouri court confirms the agreement will the financial scale of the US claims be reliably quantifiable for the coming decades.

Chart Support and the Next Catalyst

From a technical standpoint, the shares remain supported, trading above their 50-day moving average of €48.57. How the latest measures feed through to the balance sheet will become clearer shortly: Bayer reports third-quarter 2026 results on 3 November 2026, accompanied by an investor video call.