Evonik, Pitches

Evonik Pitches Biodegradable Pharma Polymer While Fending Off BASF and Cutting 3,200 Jobs

Published on 10/06/2026 at 18:02 | Editorial boerse-global.de

Evonik launches a biodegradable polymer platform at CPHI 2026 while cutting 3,200 jobs by 2029 and pressing on after rejecting BASF's €10.3 billion offer.

Geometrisches Bauhaus-Poster mit fettem Text CHEMIE in Primärfarben Rot Gelb Blau nach 1920er Stil
Evonik Industries DE000EVNK013 als geometrisches Bauhaus-Poster mit dem Sektor-Text CHEMIE in leuchtenden Primärfarben Illustration mit AI erstellt.

Evonik is pressing ahead on two fronts at once: rolling out a new pharmaceutical technology and pushing through a sweeping restructuring, all while a rejected takeover approach from BASF keeps the share price hovering near record territory.

On Wednesday, the specialty chemicals group will unveil a biodegradable polymer platform at the CPHI 2026 trade fair in Milan. The technology is designed to underpin the next generation of functional excipients in the company's established EUDRAGIT line, which is used for oral drug delivery. Non-commercial laboratory quantities are already available to selected partners for joint development work, according to the company.

The move taps into growing demand for sustainable solutions in the pharmaceutical industry. Functional polymers control the targeted release of active ingredients in the body and have traditionally ranked among the higher-margin specialties in Evonik's portfolio — precisely the kind of business management wants to expand as it sharpens the group's profile.

Restructuring Rolls On

That push runs in parallel with a deep overhaul of the company's structures. Under the "Evonik Tailor Made" efficiency program, 3,200 positions are to be cut worldwide by the end of 2029, with roughly 2,150 of those reductions falling at German sites. The portfolio and the large domestic production plants are to be given clearer role profiles to improve the regional balance. A second phase of the program is slated for 2027 to 2029, and the divestment processes for the Oxeno and Syneqt businesses are proceeding according to plan, the company said.

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Politics has now entered the fray. The state government of North Rhine-Westphalia weighed in on Tuesday, warning that jobs and Evonik's ability to develop independently must not be put at risk by a possible takeover. The intervention followed exploratory talks with BASF confirmed a good week earlier. Beyond preserving the group's headquarters, state politicians are focused on protecting the industrial base. A merger of the two chemical companies would bring substantial overlaps, potentially adding further pressure on existing jobs.

A €10.3 Billion Offer Turned Down

Citing people familiar with the matter, Reuters reported that Evonik rejected an offer from BASF worth €10.3 billion as too low. The Ludwigshafen-based group is said to have bid around €22.15 per share. Evonik declined to comment on the matter.

The stock has been moving on the combination of operational measures and takeover speculation. Since BASF confirmed the exploratory talks, the shares have gained 5.3 percent. In pre-market trading the stock stood at €20.68, a pre-market decline of 0.4 percent, though that still leaves it up 55 percent since the start of the year. The current price of €20.86 sits just 0.6 percent below its 52-week high of €20.98.

Analysts have been adjusting their models to the new situation. Berenberg upgraded the stock from "Sell" to "Hold" on Monday and raised its price target to €20 from €15.50. Analyst Sebastian Bray attributed the move to BASF's takeover interest, noting that continued talks could underpin the valuation.

The market expects further clarity on the operating side on November 3, when Evonik reports third-quarter 2026 results.

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