Proventis Partners advises Cinven on the acquisition of Bayer AG’s Environmental Science Professional business

Leverkusen, Germany, October 5, 2022 – International private equity firm Cinven, has acquired the Environmental Science Professional (BESP) business of Bayer AG (ETR: BAYN) for a total purchase price of $2.6 billion (~€2.4 billion). Bayer Environmental Science Professional is a leading global provider of products and services to create healthier environments, control pests and eliminate vector-borne diseases.

The Transaction

The conditions for closing the transaction – including receipt of regulatory approval – have now been met after the two companies entered into an agreement to do so on March 10th, 2022.

“We would like to thank the employees of Environmental Science Professional for their many years of dedication and the success they have brought to Bayer. With Cinven, we have found a strong new owner who is committed to the long-term growth potential of the company and its employees,” said Rodrigo Santos, member of the Board of Management of Bayer AG and Head of the Crop Science Division. “At the same time, we can focus on our core agricultural business and the successful implementation of our growth strategy in the Crop Science Division.” Bayer will use the net proceeds from the transaction to reduce net financial debt.

“Envu, under which name BESP will now continue to operate, is a global leader in a highly attractive and important industry. We thank Bayer for the confidence Bayer has placed in Cinven and plan to build on the strong foundation Bayer has created with significant investments,” said Pontus Pettersson, Partner at Cinven. “Cinven looks forward to building an independent, focused company that is well positioned to drive innovation and accelerate growth, including the delivery of digital and data-driven solutions, and further expand its product portfolio by creating innovative and sustainable solutions for its customers.”

The role of Proventis Partners

With more than 30 M&A experts, Proventis Partners is one of the largest independent M&A advisors in the German-speaking region and operates globally in the Chemicals & Materials sector with deep industry expertise and a proven track record.

Proventis Partners’ Chemicals team was mandated as M&A advisor and supported Cinven throughout the process in transaction and M&A matters.

Dr. Jan-Philipp (JP) Pfander (Partner), Dr. Uwe Nickel (Partner), Artur Maibach (Associate) and Jonas Hesseldieck (Analyst) acted as Proventis Partners’ transaction team.

About Cinven

Cinven is one of the most active and successful investors in Germany and the DACH region and one of the leading investors in carve-outs of industrial companies in Europe. The firm is a responsible, ESG-focused investor and is committed to upholding BESP’s environmental, regulatory and employee responsibilities.

Cinven is an international private equity firm focused on building world-class global companies. Its funds invest in six key sectors: business services, consumer products, financial services, healthcare, industrials, and TMT (Technology, Media and Telecommunications). Cinven has offices in London, New York, Frankfurt, Paris, Milan, Madrid, Guernsey, and Luxembourg.

Cinven takes a responsible approach to its portfolio companies, their employees, suppliers, local communities, the environment and society. www.cinven.com

About Bayer

Bayer is a global enterprise with core competencies in the life science areas of health care and nutrition. The company’s products and services contribute to the well-being of people and the environment by helping to address the major challenges posed by a growing and aging world population. Bayer is committed to driving sustainable development and achieving a positive impact through its businesses. At the same time, the group aims to increase its earning power and create value through innovation and growth. The Bayer brand stands for trust, reliability and quality everywhere in the world. In fiscal 2021, the group employed around 100,000 people and generated sales of €44.1 billion. R&D expenses before special items amounted to €5.3 billion. For more information, visit www.bayer.com.

About Envu

Envu was founded in 2022, a new company built on years of Bayer experience with the sole aim of promoting a healthy environment for everyone, everywhere. Envu provides specialized services in professional pest management, forestry, ornamental, golf, industrial vegetation management, turf and landscape, mosquito management and rangeland. In each of its businesses, Envu focuses its work on chemistry and beyond, partnering with its customers to develop innovative solutions that work today and in the future. Envu’s portfolio consists of more than 180 trusted and well-known brands.

Envu has an extensive portfolio of products for the sustainable and responsible control of pests (such as rodents, insect pests and invasive weeds), including for the vegetation management, rangeland, forestry and turf and ornamental markets. In addition, Envu markets products to protect against vector-borne diseases such as malaria and to promote public health in the developing world.

Headquartered in Cary, North Carolina, USA, the company operates in more than 100 countries with four global innovation centers. In total, nearly 900 employees will transfer from Bayer to Envu.

About Proventis Partners

Proventis Partners is a partner-led M&A advisory firm whose clients include majority family-owned mid-sized companies, corporate subsidiaries and private equity funds. With more than 30 M&A advisors, Proventis Partners is one of the largest independent M&A consultancies in the German-speaking region and looks back on 20 years of M&A experience and more than 300 completed transactions. The M&A consultants with offices in Zurich, Munich, Hamburg and Cologne are active in the sectors Industrials, Chemicals, Business Services, Consumer & Retail, TMT, Healthcare and Energy & Sustainability. The exclusive membership in Mergers Alliance – an international partnership of leading M&A specialists – enables Proventis Partners to accompany clients in 30 countries in the most important markets worldwide. Mergers Alliance members, with over 200 M&A professionals, provide Proventis Partners and thus its clients with unique access to local markets in Europe, North America, Latin America, Asia and Africa.