Bayer's subsidiary Monsanto has proposed a $7.25 billion settlement to resolve numerous lawsuits in the U.S. alleging that its herbicide Roundup causes cancer.
Bayer's subsidiary Monsato, the German chemical giant, has put forth a proposal to pay up to $7.25 billion in compensation to settle lawsuits in the United States that allege its herbicide Roundup is linked to cancer. This announcement was made public on Tuesday. The proposed settlement would be disbursed over several years and is still subject to court approval before being finalized.
Bayer acquired Monsanto in 2018 and has since spent more than $10 billion addressing thousands of claims related to Roundup. The International Agency for Research on Cancer (IARC) has classified glyphosate, the active ingredient in Roundup, as a probable carcinogen. However, Bayer insists that scientific research and regulatory assessments confirm the safety of the chemical.
Following the announcement of this proposed settlement, Bayer’s stock surged by seven percent on the Frankfurt Stock Exchange, reflecting investor optimism regarding the potential resolution of these long-standing legal challenges that have plagued the company since its acquisition of Monsanto. The outcome of this settlement could significantly impact Bayer's financial standing and reputation in the agricultural chemical industry.
