Evonik's Suitor Puts Due Diligence on the Table as Politicians and Unions Close Ranks

BASF is willing to talk about sweetening its bid for Evonik — but only once it gets a look inside the specialty chemicals maker's books. That condition, reported by dpa-AFX, has turned the German takeover saga into a waiting game, with the target's third-quarter report on 3 November 2026 now doubling as a referendum on its standalone strength.

The opening gambit is already off the table. Evonik rejected a first offer of 22.15 euros per share, valuing the company at 10.3 billion euros, and neither side has yet said whether formal negotiations will follow.

A wall of resistance in Düsseldorf and beyond

Opposition has hardened on two fronts. In the NRW state parliament, economy minister Mona Neubaur came out against combining the two chemical groups, citing the need to protect jobs and industrial sites; her government also ruled out the idea of the state itself taking a stake. Union leaders are just as wary. IG BCE chief Michael Vassiliadis and board member Alexander Bercht questioned a full sale of Evonik's stake to BASF in a letter to works councils, according to media reports.

The RAG-Stiftung, Evonik's anchor shareholder, is keeping its cards close. Its board was briefed on BASF's interest but stopped short of taking a position, pointing the two companies toward direct talks instead.

Contracts, not promises

To calm those nerves, BASF has signalled it could put commitments in writing. Two people familiar with the matter told Reuters on 12 October that the Ludwigshafen group is prepared to offer contractual guarantees for German sites along with job-security pledges. BASF declined to comment officially.

Investors, meanwhile, have been pricing in a deal. Evonik shares closed at 21.16 euros yesterday and sit within touching distance of their 52-week high of 21.84 euros, up 58% since the start of the year.

Life beyond the bid

The company is not standing still while the poker game drags on. It has just launched Lypron, a rumen-protected lysine solution for ruminants manufactured exclusively by Sipena, and about a week ago kicked off a polyurethane foam recycling initiative in Japan with partners. Full figures for the summer quarter, due on 3 November, should show investors what earnings base Evonik can lean on as it defends its independence.