Bayer announced Friday that it has reached a deal with Apollo-managed funds worth €3 billion — approximately $3.4 billion — in equity financing connected to its long-acting reversible contraceptives, known as LARC, division.
Under the terms of the agreement, Apollo funds and their affiliates will receive a minority, non-controlling stake in a newly created entity that will house the LARC business. Bayer will hold a majority stake and retain what the company described as “complete operational control” over the division.
Despite the new structure, Bayer confirmed the contraceptives business will continue to function as part of its pharmaceuticals division’s core operations and will remain fully consolidated within the company’s overall financial accounts.
Bayer’s Chief Financial Officer Judith Hartmann described the arrangement as a “strategic financing solution” designed to strengthen the company’s balance sheet and improve financial flexibility. She noted the company is managing “increased liquidity requirements this year related to bond maturities and litigation procedures.”
Bayer said the transaction is anticipated to close during the third quarter of 2026, pending antitrust regulatory approval and other standard conditions.
