Bayer selling its Cary-based pest control business for $2.6B

CARY – German chemical and health care company Bayer said Thursday it is selling a U.S.-based pest control business to private equity firm Cinven for $2.6 billion.

The business is based in Cary and has some 800 employees.

“This divestment represents a very attractive purchase price and allows us to focus on our core agricultural business and the successful implementation of our Crop Science Division growth strategy,” said Rodrigo Santos, president of the Crop Science Division, in a statement.

The company noted that it disclosed plans to sell the group a year ago.

“Driven by a shared belief in people and purpose, Cinven will enable the Environmental Science Professional business to advance towards its vision of healthy environments for everyone, everywhere. We are convinced by Cinven’s focus and its commitment to the long-term growth potential for the business and its people,” Santos said.

Bayer said the Environmental Science Professional business, which is headquartered in Cary, North Carolina, had about 800 employees last year. It specializes in “environmental solutions” for pest, disease and weed control in non-agricultural areas.

Bayer board member Rodrigo Santos said in a statement that the sale of the business, which the company said it planned to divest in February 2021, “allows us to focus on our core agricultural business.”

The sale is expected to close in this year’s second half, and the proceeds will be used to reduce Bayer’s net financial debt.

“Bayer’s Environmental Science Professional business is a global leader in a highly attractive and critical industry. We thank Bayer for the trust they have placed in Cinven and plan to build on the strong foundations established by Bayer by significantly investing in it,” said Pontus Pettersson, partner and Head of Industrial at Cinven. “As a long-established global investment firm, Cinven is well positioned to continue to drive innovation and accelerate growth at Environmental Science Professional, including the delivery of digital and data-enabled solutions, as well as make the business more agile in responding to the unique needs of its markets and customers.”

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