Bayer Invests in Animal-Health ProductionBy
Bayer plans to invest approximately EUR 92 million ($104.7 million) at its production site in Kiel, Germany for its animal-health business. Kiel is the company’s most important production site for its animal-health business, accounting for around 60% of its products.
The investments supports the company’s growing business in the companion animal segment. In 2016, the company’s animal-health sales were approximately EUR 1.5 billion ($1.7 billion).
The Kiel site is a strategic production site for pipettes and flea and tick collars, and the company expects growth in this area. It also wants to prepare the site for the requirements of the future production of its pipeline products. Particularly, the rising demand for collars against fleas and ticks requires further investments into new production facilities and filling and packaging lines. Another focus lies on expanding the production of pipettes with liquid parasite protection for pets. Other liquid products as well as optimized production of pills for companion and farm animals will be supported with the investment as well as additional investment in the site’s infrastructure. Other production sites are located in the US, South Korea, China, Vietnam, Brazil, Mexico, and New Zealand.
Bayer is in the process of closing its proposed $66-billion acquisition of Monsanto, an agrochemical and seed company. The deal, is expected to close by the end of 2017.