German pharmaceutical and biotechnology giant Bayer (DE:BAYN) announced that it would invest €60 million starting this year in its corn seed production facility in Ukraine. The move shows the company’s commitment to rebuilding the war-hit country. Moreover, it will also strengthen its Crop Science business.
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Bayer invested €200 million in the region to start the corn seed production facility. The plant was inaugurated in 2018.
The new €60 million investment will be directed towards buying agricultural field equipment, a new seed dryer, and the construction of storage and two bomb shelter facilities.
Matthias Berninger, Bayer’s Head of Public Affairs, Science and Sustainability, said, “We will do our part to support the rebuilding plan for Ukraine and protecting food security for the region and for the world.”
Bayer delivered record sales of €50.74 billion in 2022, led by higher Pharmaceuticals sales. Moreover, its core earnings increased by 22% to €7.94. In addition, Bayer announced a 20% hike in its dividend to €2.40 per share.
Will Bayer Stock Go Up?
Thanks to the ongoing momentum in its business, strength in new products, and solid research pipeline, analysts are bullish about Bayer stock. It has received 10 Buy and three Hold recommendations for a Strong Buy consensus rating.
Meanwhile, analysts’ average price target of €76.75 implies 29.73% upside potential.
