Bayer mulls selling plastics unit worth $10.8 bn

Bayer AG is weighing a sale of its plastics unit, which may fetch the German drugmaker around $10.8 billion, Bloomberg yesterday reported, citing people with knowledge of the matter.

After chemicals company Evonik Industries AG showed potential interest in Bayer Material Science some months ago,  the German drugs giant, which wants to focus on its health business, is considering options for it.

With sales of €11.5 billion, Leverkusen, Germany-based Bayer MaterialScience is one of the world's largest producers of polymers and high-performance plastics.

Bayer MaterialScience manufactures and develops materials such as coatings, adhesives and specialty raw materials, polycarbonates, polyurethanes and thermoplastic polyurethane elastomers to enhance the design and functionality of products like CDs, DVD's, automotive seating, insulation for refrigerating appliances etc.

The company is also a leader in the development and production of polycarbonates, which is used in the automotive and construction industries among others.

It is also one of the world's leading suppliers of materials for coatings, adhesives and specialties, which help to protect automobiles, aircraft and wind turbines against the influence of weather.

A subsidiary of the Bayer Group, Bayer MaterialScience has around14,500 employees, and 30 major production sites and various smaller plants around the world.