Bayer Announces Sale of animal health unit for Elanco Animal Health for US $7.6 billion

The American company Elanco Animal Health reached an agreement to acquire the unit of veterinary medicines of German Bayer on Tuesday (20), in a business involving money and stocks and was estimated at US $7.6 billion, creating the second largest company of Sector. The two companies stated that Bayer will receive US $5.3 billion in cash and US $2.3 billion in Elanco shares, with a price of US $33.60 per share, an average value of 30 days on August 6. Elanco said that the amount represents 68 million shares, or a slice of 18.2%, according to Refinitiv data, but the number of shares may vary by up to 7.5%, depending on the performance of Elanco on the date of completion. Market researchers expect the animal health sector, of US $44 billion, to grow between 5% and 6% per year, driven by an increase in livestock and, more importantly, by the growth in the number of people wishing to own pets and spending more on the Welfare of pets. The negotiation adds another name to the list of assets sold by Bayer, as the German company seeks to reduce the debts arising from the purchase of the seed manufacturer Monsanto, last year for US $63 billion, in addition to preparing for possible Legal agreements on account of the alleged effect causing cancer of the pesticide Roundup.