Bayer AG slumped after the agriculture and pharma giant said it would have to slash costs as the pandemic’s impact on farm commodities extends into next year, further undermining the rationale for its $63 billion purchase of Monsanto Co.
The stock fell as much as 13% in German trading, knocking 6.6 billion euros ($7.7 billion) from a market value that has sagged well below the price paid for Monsanto. Bayer, already reeling from a legal battle over its Roundup herbicide, said late Wednesday it would cut 1.5 billion euros of annual costs and may also eliminate jobs and sell businesses.
