Bayer Schering to conclude acquisition process

The Bayer Group has announced it is set to resolve a domination and profit and loss transfer agreement for the acquisition of Schering AG.

Bayer had agreed to buy Schering AG in May following a protracted bidding war with Merck KGaA, which eventually withdrew from the race.

The latest announcement means that any outside stockholders with remaining Schering AG shares will be offered a cash compensation of 89.36 euros (59.90 pounds) per share. Additionally, any shareholders who decide not to sell their stock in Schering AG will be given an annual guaranteed dividend of 3.62 euros per share.

The newly-merged pharmaceutical group says it will enter Schering AG’s new name, Bayer Schering, onto the commercial register in December.

Werner Wenning, chairman of Bayer’s management board, remarked: “This is a milestone along the road to integrating Schering into the Bayer organisation.”

He added that the company hopes to conclude the process as quickly as possible, enabling the creation of a “leading global player” in the speciality pharmaceuticals industry.

Recently, Bayer announced a new partnership with Regeneron Pharmaceuticals to develop new treatments for eye diseases like “wet” age-related macular degeneration – something that has been heavily researched by several pharmaceutical company.

Arthur Higgins, chairman of the Bayer Healthcare board, said Regeneron’s VEGF Trap product represents an “excellent strategic fit” for the company.