Bayer to divest Lyon Residue Analysis Lab to SynTech Research Group
SynTech considers this as an opportunity to offer its customers a complete package of services in Europe
Changing expectations and the transformation of the agriculture industry has driven Bayer to adapt to support farmers and agriculture as a whole. Bayer’s strategy focuses on long-term developments, technology trends and customer expectations. In line with this strategy, Bayer has announced its intention to divest the Lyon residue laboratory to an external partner, such activities being very commonly outsourced for many players in the agricultural sector.
The residue laboratory employs 15 permanent and two fixed-term employees. This team is in charge of quantifying residues of crop protection products in agricultural commodities and in toxicological studies.
SynTech Research Group is a leading global agricultural contract research, product positioning, development, registration, and market support services provider. It has over 600 experienced scientists and managers, working from a network of experimental field stations, laboratories and regulatory service locations in over 40 countries. Its rapidly expanding business provides services globally to agrochemical, bio-solutions and seeds and traits customers, based on its strengths in science, agronomy, regulatory and market experience.
SynTech Research Group considers this acquisition to be an opportunity to develop and complete its service offering for residue analysis and to offer its customers a complete package of services in Europe. Already present in USA and Brazil for residue analysis, SynTech Research Group aims to become the world leader in this activity. Through this acquisition, the Lyon laboratory holds the potential to become the European regional center of excellence for “Product Safety Services”.
Bayer thus sees SynTech Research Group as a solid potential acquirer of the Lyon Residue Analysis Laboratory. Confident in the expertise of the divested business, Bayer would become a privileged partner through the establishment of long-term collaboration contracts.
The process would take approximately six months. Over the next months, Bayer will discuss the terms of the offer with SynTech Research Group and consult with the workers councils. If these steps are successfully completed, Bayer would sign a definitive agreement with SynTech Research Group. The sale would be expected to become effective June 1, 2023, providing all necessary regulatory approvals and closing conditions are satisfied.
From the date of sale, Bayer is committed to set up post-closing agreements that would maintain operational processes and business continuity of activities. Until closing, the laboratory would continue to operate as part of Bayer, with no impact on its activities. As always, Bayer is committed to supporting the concerned employees through the upcoming changes in a spirit of fairness and consideration for all.
Due to confidentiality agreements, Bayer and SynTech Research Group cannot divulge any further details about the process.
SynTech considers this as an opportunity