Bayer announced today that it had sold a 9.4% stake in Covestro, its polyurethanes and polycarbonates affiliate, cutting its direct stake to 31.5%.
Bayer sold 19 million Covestro shares to institutional investors at a price of €63.25 ($75.76) per share, raising €1.2 billion before expenses. The placement took place Tuesday evening at a 3.7% discount to the closing market price. As part of the placement, Bayer agreed to a 90-day lock-up period where it would not sell additional shares.
Bayer says that, until further notice, Covestro will continue to be fully consolidated in Bayer’s financial statements as it wll continue to hold the de facto majority at the Covestro annual stockholders meeting. Some 8.9% of Covestro shares are still held indirectly in Bayer pension fund. Bayer says it intends to achieve full separation from Covestro in the medium term. The placing is part of Bayer’s efforts to raise funds for its proposed $66-billion Monsanto acquisition.
By Natasha Alperowicz
Source: Chemical Week
The US State of New York is introducing two new bills to combat over-packaging, poor recycling rates and litter issues, including an Extended Producer Responsibility (EPR) program requiring companies such as McDonald’s and Amazon to pay for the cost of packaging disposal and recycling.
The new organization’s mission is to redesign the critical steps of the plastics sorting and recycling system for post-consumer lightweight packaging (LWP) to speed up circularity, born from a need to meet the rising market demand for high-quality recyclates for use in high-end plastic applications.
Starbucks and Hubbub have launched a £1 million (US$1.22 million) “Bring It Back Fund” to increase the uptake of reusable packaging in the F&B industry. The funding will go toward innovative ideas that make it easier for customers to use alternatives to single-use packaging by supporting pilot projects that help shift consumption habits.
