Case Study extra

Unlocking Value at BAYER AG through Investor Activism

Published 26 Mar 2026
Reference 6992
Region Global
Length 19 page(s)
Language English
Summary

Bayer is reeling from the aftermath of the acquisition of Monsanto, which has produced a series of unexpected lawsuits that are threatening to bring down the conglomerate. What to do with a former symbol of Germany’s industrial might that is now plagued by problems and whose stock price is hugely undervalued? Is it an opportunity for an activist investor? How is its predicament related to the governance of the company?

Teaching objectives

The case can be used in the following domains: 1) Governance: how activists work, what is their role, how they interact with the governance of the company and the institutional scenario. 2) Strategy: what is the right strategy for a firm that has to restructure and is facing a lack of focus and disruption in the industry? 3) Finance: how to evaluate value creation in a conglomerate active in several business sectors, and how to create value by restructuring

Keywords
  • SDG9 Industry
  • Innovation and Infrastructure
  • Q12026