According to a report by the Bloomberg agency, Bayer AG has reached an agreement with a large proportion of its glyphosate plaintiffs which is the main reason for Bayer (ETR:BAYN) share price to go up on Monday.
The group has now reached at least one verbal agreement in up to 85,000 of an estimated 125,000 lawsuits, the Bloomberg news agency reported on Monday, citing people who are involved in the negotiations. Bayer stock price is growing strongly on this news.
Bayer had announced at the end of April when presenting the quarterly figures that the corona crisis delayed the search for an agreement in the US glyphosate dispute. Bayer continues to participate constructively in the mediation and has made progress until the outbreak of Covid-19 has slowed the process considerably.
According to the Bloomberg report, Bayer now plans to close the settlement negotiations in June. A company spokesman did not want to comment on the information, the report said.
Bayer CEO Werner Baumann said when he recently presented the quarterly figures: “The company will only consider a solution if it is economically sensible and structured so that future cases can be brought to an efficient conclusion”.
According to the Bloomberg report, Bayer now plans to close the settlement negotiations in June. The Supervisory Board must approve a possible outcome of the discussions.
The announcement was well received by investors.