Bayer CEO sees no structural change

By Sitaraman Shankar, European Chemicals Correspondent

FRANKFURT (Reuters) - German drugs and chemicals group Bayer (BAYG.DE: Quote, Profile, Research, Stock Buzz) plans to retain its current three-pillar structure over the next decade, Chief Executive Werner Wenning told the Reuters Chemicals Summit in Frankfurt on Wednesday.

"We will keep our structure and concentrate on the three sub groups," Wenning said, adding that he was considering a 10-year time horizon.

He said the share of life sciences -- which encompasses healthcare and agrochemicals -- would grow beyond the current level of 60 percent of group turnover.

Bayer is among the last surviving drugs-chemicals hybrids in Europe. Despite spinning off most of its chemicals unit and part of its plastics business into Lanxess (LXSG.DE: Quote, Profile, Research, Stock Buzz) last year, it retains a chemicals and plastics operation under the umbrella of Bayer MaterialScience.

The other businesses are Bayer HealthCare, which includes its drugs and consumer care business, and agrochemicals under Bayer CropScience, which competes with Syngenta (SYNN.VX: Quote, Profile, Research, Stock Buzz) for the top spot in the global agrochemicals market.

Wenning said at the summit at the Reuters offices in Frankfurt that Bayer would look to bolster its pharmaceuticals business by in-licensing and examining acquisition opportunities.

He declined to comment on any possible interest in Berlin-based drugmaker Schering (SCHG.DE: Quote, Profile, Research, Stock Buzz), which is the target of a bid by rival Merck KGaA (MRCG.DE: Quote, Profile, Research, Stock Buzz).

"This consolidation process will continue from a global perspective," Wenning said, adding that the company expected "very intensive consolidation" in the over-the-counter health business.  Continued...