Bayer Offloads Stivarga to Grünenthal While Betting $2.2 Billion on Ohio Manufacturing
Published on 10/05/2026 at 10:20 | Editorial boerse-global.de
Bayer is reshaping its pharmaceutical portfolio on two fronts at once: shedding a mature oncology asset while pouring billions into American production capacity. The Leverkusen-based group has agreed to sell its cancer drug Stivarga to fellow German pharma company Grünenthal for as much as EUR 375 million, a deal still subject to regulatory clearances and customary closing conditions. The divestment frees up capital and slots into a broader push to steer resources toward newer therapeutic programs and core franchises.
A Leadership Shuffle and a Bond Placement
Organizational changes have accompanied the portfolio work. Dr. Christoph Koenen took over as Chief Medical Officer of the pharma division effective October 1. Weeks earlier, on September 23, the company bolstered its capital structure by placing hybrid bonds totaling EUR 2 billion.
Ohio Campus to Combine API and Finished-Dose Output
The centerpiece of Bayer's North American build-out is a modular pharmaceutical campus in New Albany, Ohio, carrying an investment volume of $2.2 billion across a 200-acre site. The facility is designed to pair active ingredient manufacturing with finished-drug processing, focusing on therapies for cancer, cardiovascular disease and kidney disorders. Start-up will unfold in two separate phases: a first module for pharmaceutical ingredients is slated to begin operations in 2031, followed by a finished-medicines unit in 2034. Roughly 1,500 construction jobs are expected during the build, with about 600 permanent positions once the site is fully operational.
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According to DPA, the group's US spending on pharmaceutical research, development and production has exceeded $7 billion over the past five years. The project follows a cell therapy plant that opened in Berkeley in 2023.
Political Tailwinds and Tariff Strategy
Ohio Governor Mike DeWine called the project the state's largest international healthcare investment to date and described it as a record German commitment to the region. Bayer CEO Bill Anderson labeled the United States a pivotal location for production and innovation. The move also lands in a politically charged climate: US President Donald Trump attributed investment decisions of this magnitude to his trade policy. Within the pharmaceutical industry, building local manufacturing capacity increasingly serves as a strategic buffer against potential import tariffs.
Analysts Stay Constructive, With a Caveat on Q3
Ahead of the next interim report on November 3, 2026, analysts are maintaining their confidence in the group. Deutsche Bank Research kept its "Buy" rating on September 30 with a price target of EUR 60. JPMorgan Chase remains optimistic as well, with analyst Richard Vosser retaining an "Overweight" rating and a EUR 61 target. Vosser considers early market expectations for the third quarter too high, but attributes this mainly to the timing of the agricultural business and expects little revision to full-year estimates.
Shares Pause After a Strong Run
On the stock market, the DAX-listed equity has taken a breather following an earlier rally. The shares ended Friday's session at EUR 45.02, trading just above their 200-day moving average of EUR 43.09. Despite the recent pullback, the stock has gained 22% since the start of the year. The November reporting date should now offer important insight into how the realignment of the business units is translating into operating figures.
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