Bayer AG (BAYGn.DE): Supreme Court sides 7-2 with Bayer on failure to warn - a big step to moving past a decade of litigation risk

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Bayer AG (BAYGn.DE): Supreme Court sides 7-2 with Bayer on failure to warn - a big step to moving past a decade of litigation risk

Equity Research

25 June 2026 | 4:16PM BST

Bayer AG (BAYGn.DE): Supreme Court sides 7-2 with Bayer on failure to

warn - a big step to moving past a decade of litigation risk

This afternoon (June 25), the US Supreme Court (SCOTUS) voted 7-2 in favor that the James Quigley

+44(20)7051-3800 |

failure to warn claims raised against Bayer in the Durnell case were pre-empted by james.quigley@gs.com

Goldman Sachs International

Federal law in FIFRA. As discussed previously (see here), we believe this is a

Rajan Sharma

significant step forward for Bayer in its litigation defense. While Bayer believes some +44(20)7051-7995 |

outstanding claimants could sue on other grounds, the Supreme Court ruling should rajan.sharma@gs.comGoldman Sachs International

help to limit any future litigation risk against Bayer on the grounds of failure to warn. Max Da, Ph.D.

Our SOTP value of c.€56/share includes all the announced litigation liabilities related +44(20)7051-8835Goldman Sachs International| max.da@gs.com

to the previously announced settlements. Previously (see here), we had said that in Shyam Kotadia

the event of a positive results on the settlement acceptance rate/ a positive SCOTUS +44(20)7051-6153 | shyam.kotadia@gs.com

ruling for Bayer, our SOTP suggested 30-45% upside (€50-56 range), therefore, we Goldman Sachs International

would expect a positive reaction in Bayer shares. However, Bayer is still working to Theodora Rowe Beadle

+44(20)7552-0177 |

confirm settlements with the plaintiff lawyers, so there is still some uncertainty with theodora.beadle@gs.com

the settlement fairness hearing scheduled for July 9th (although there could be a

Kaaviya Ganesan