BBC NEWS Americas Africa Europe Middle East South Asia Asia Pacific Arabic Spanish Russian Chinese Welsh
BBCi CATEGORIES   TV   RADIO   COMMUNICATE   WHERE I LIVE   INDEX    SEARCH 

BBC NEWS
 You are in: Business
Front Page 
World 
UK 
UK Politics 
Business 
Market Data 
Economy 
Companies 
E-Commerce 
Your Money 
Business Basics 
Sci/Tech 
Health 
Education 
Entertainment 
Talking Point 
In Depth 
AudioVideo 


Commonwealth Games 2002

BBC Sport

BBC Weather

SERVICES 
Thursday, 13 September, 2001, 17:36 GMT 18:36 UK
Bayer stresses continuity
Bayer's headquarters in Leverkusen
Bayer's Baycol remedy is no longer available anywhere
After weeks of hesitation, German chemical giant Bayer has announced it will not be selling its crisis-hit drug unit.

The unit had been seen as a candidate for a rapid fire-sale, after it was forced to withdraw Baycol/Lipobay, its top-selling anti-cholesterol remedy, over fears of fatal side-effects.

The firm has faced a barrage of lawsuits over Baycol.

In a further move to underline continuity, Bayer announced that it had picked Werner Wenning, its chief financial officer, to become its next chief executive.

Mr Wenning takes over in April next year.

'No sale'

Bayer said in a statement that its supervisory board approved a plan to set up separate companies to operate its healthcare and crop protection businesses but made it clear that the drugs business would not be sold.

Bayer chief executive Manfred Schneider
Bayer chief Manfred Schneider will step down in April
The company said the new structure would make it easier to enter strategic partnerships, but refused to contemplate the notion of taking a minority stake in any pharmaceuticals joint venture.

The decision represents the maintenance of the firm's hallowed "four-pillar" strategy, under which four diverse business streams are intended to hedge the firm against a slump in one area.

The strategy has come in for criticism from analysts, who say that it makes Bayer something close to a conglomerate - a deeply unfashionable type of business.

The announcement is the result of a review of Bayer's strategy in the wake of the costly withdrawal of Baycol, a series of profit warnings, and the disastrous performance of its shares in the past few weeks.

See also:

04 Sep 01 | Business
Investigation launched into Bayer
16 Aug 01 | Business
Troubled Bayer puts off NY listing
15 Aug 01 | Business
Bayer sued over danger drug
13 Aug 01 | Business
Bayer drug linked to more deaths
10 Aug 01 | Business
Bayer to cut more than 4,000 jobs
09 Aug 01 | Business
Bayer confirms profits slump
08 Aug 01 | Business
Bayer shares plunge
27 Jun 01 | Business
Bayer warns on 2001 profits
22 Jun 01 | Business
Drug giant warns of lower profits
21 Jun 01 | Business
BASF shuts plants
21 Nov 00 | Business
Drugs - a high-risk business
Internet links:


The BBC is not responsible for the content of external internet sites

Links to more Business stories are at the foot of the page.


E-mail this story to a friend

Links to more Business stories