20 April 2025, Washington: Bayer is actively urging U.S. state governments to revise regulations in an attempt to manage the growing legal battles surrounding glyphosate, the key ingredient in its Roundup herbicide. Despite these efforts, the company acknowledges it may be forced to pull the product from the U.S. market if litigation risks continue to escalate.
Speaking ahead of Bayer’s annual shareholders’ meeting scheduled for April 25, CEO Bill Anderson emphasized the company’s dual-track approach: advocating for legislative reform while preparing for all possible outcomes, including withdrawal from glyphosate sales.
“We’re making our case to lawmakers and appreciate the bipartisan support we’re receiving,” Anderson stated in prepared remarks. He highlighted that Georgia and North Dakota have already passed bills concerning pesticide labeling—though they still await gubernatorial approval—and expressed hope that more states would follow suit.
However, Anderson also cautioned that ongoing lawsuits could make continued sales of glyphosate unsustainable. “We’re nearing a point where the litigation environment could force us to stop selling this vital product,” he said, underlining the severity of the situation.
To date, Bayer has paid approximately $10 billion to settle lawsuits claiming that Roundup causes cancer. The company has also recently submitted another appeal to the U.S. Supreme Court, seeking to limit future legal claims and avoid further multi-billion-dollar payouts. Still, around 67,000 additional cases remain unresolved, with $5.9 billion already set aside for potential liabilities.
The legal burden stems largely from Bayer’s $63 billion acquisition of Monsanto in 2018, which has since led to mounting debt and a share price decline of over 70%.
As part of its broader turnaround strategy, Bayer is proposing a potential capital increase of up to 35%—equating to around €8 billion ($9.09 billion)—to help manage litigation costs while preserving its credit rating. Shareholders will be asked to support this move later this month.
While the company prefers to avoid a rights issue, it has signaled that capital infusion may be necessary on short notice, particularly if further legal settlements arise.
Looking ahead, Anderson warned that 2025 would likely be the most challenging year in Bayer’s transformation journey, with hopes pinned on a return to earnings growth from 2026 onward.
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