Allied Securities Corporation Follows Possible Bayer AG Unit Sale.

New York, March 16, 2015 (Newswire.com) - The Leverkusen based Bayer is believed to be working in conjunction at this stage with Credit Suisse Group AG on the potential unit sale, at least three Private-equity firms including EQT Partners AB, Cinven Ltd as well as Triton Advisers Ltd are already in the running to bid for the medical device manufacturing unit, which could attract a price of up to $2.5 billion.

Under its current CEO Marijn Dekkers, Bayer is in the process of selling off its peripheral units focusing instead on more profitable life-sciences business. As well as the sale of its diabetes treatment device unit, the German pharmaceutical intends to spin off and list its plastics unit publicly , while back in May agreeing to purchase Merck & Co.’s, OTC drug business for a price tag of $14.2 billion and showing interest in further acquisitions in the area of veterinary medicines.

“It is looking very likely that the Bayer of 2015 will be a rather different company than the one that began this year, and to investors these fundamental changes are very appealing to say the least. The German company is looking at fast turnover low overhead business models, something that is not a common approach in the industry as we are all aware” noted Sebastian Howe, Senior Trading Analyst at Allied Securities Corp Asset Management.

It appears likely that the German Bayer is keenly interested in purchasing Zoetis Inc, the animal-health company which was separated from Pfizer Inc and worth around $22 billion, though they seem to be in no rush to bid for Zoetis until it raises its finances through the sale of its plastics and diabetes device businesses first. October saw the German company raise both its revenue and profit forecasts, driven primarily by growing sales of new medicines, the acquisition of Merck & Co.’s OTC unit and the relative weakness of the euro.

 Bayer AG has increased its share price and overall value over the course of this year, and with its costs continuing to be lowered by this ongoing redesign of the company, we are very confident of seeing similar figures of growth over the coming twelve months or so, especially if they are successful in their acquisition of Zoetis Inc observed Sebastian Howe of Allied Securities Corporation.