Bayer shares down 7% after U.S. court says it will review Monsanto case

Core Viewpoint - Bayer AG's shares experienced a nearly 7% decline following a U.S. court's decision to review a case related to the harmful effects of its Monsanto unit's products [1][3]. Group 1: Legal Challenges - The Washington Supreme Court has agreed to review litigation concerning the impact of polychlorinated biphenyls (PCBs) exposure at the Sky Valley Education Center in Washington state, which is part of a broader set of legal challenges Bayer is facing [2]. - An appeals court previously overturned a $185 million award in May, citing flaws in the case [2]. - Bayer maintains that there is "no basis for a different outcome on appeal," arguing that the claims are based on industrial materials that Monsanto ceased manufacturing in 1977 [4]. Group 2: Financial Performance - Bayer's shares were down 6.76% at 12:45 p.m. London time, marking the company's worst performance since March and extending a year-to-date loss of 13% [3]. - The company faced a significant decline of over 30% in its shares last year due to ongoing litigation and high net debt [3]. Group 3: Historical Context and Settlements - Bayer acquired Monsanto in 2018, which has led to numerous legal challenges regarding alleged health effects, including cancer, from products like Roundup weed killer [5]. - Approximately 125,000 claims have been filed against Roundup in the U.S., with more than half resolved following a $10.9 billion settlement in 2020 [5]. - In September, Bayer achieved a legal victory when the 3rd U.S. Circuit Court of Appeals ruled in its favor regarding a claim that Monsanto failed to include a cancer warning on the Roundup label [6].