Consolidation to rev up synergy in Bayer group


PETALING JAYA: German chemical and pharmaceutical giant Bayer group anticipates the consolidation of its three core businesses in Malaysia under one roof will increase the group's synergy. 

Two divisions - HealthCare and CropScience - come under Bayer (M) Sdn Bhd while MaterialScience operates under Bayer Co (M) Sdn Bhd. 

Bayer Co managing director Christoph Bermen said with the consolidation of the divisions, the group hoped to provide a more efficient service to its clients as well as create an integrated office concept for its employees. 

“The group invested RM3mil in its new office in Jaya 33,” he told reporters at the official opening yesterday. 

“We expect growth in the HealthCare and CropScience divisions,” Bermen said, noting that healthcare was the fastest growing segment in Malaysia. 

There had been a steady demand for health products due to the increasing number of diabetic patients as well as an ageing population, he noted. In addition, Bayer Co anticipates its CropScience division in Malaysia to grow in tandem with the boom in the palm oil industry.  

“With the price of palm oil going up, we believe this segment would have a huge growth potential to the group's bottomline,” Bermen said. 

Meanwhile, the group also expects the robust automotive market to rev up the sales of its high-tech plastic Makrolon this year. 

Makrolon, a product of MaterialScience which is used in the lightweight construction of automotive components, ”makes a vital contribution to reducing oil consumption,” he said. 

For the financial year ended Dec 31, 2006 (FY06), the two Bayer entities in Malaysia registered a combined turnover of RM400mil.  

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
   

Did you find this article insightful?

Yes
No

Next In Business News

CPO futures may undergo technical correction next week
Blackstone-backed Patria eyes expansion in Latam, Asia
METALS: Tin, aluminium, copper prices down
Oil price falls on China's COVID-19 cases, high crude build
IBM, Intel slump weighs on Wall St as coronavirus concerns rise
GLOBAL MARKETS-Weak data, earnings drag stocks lower
Getting through tough times together
Keeping the economy moving with stimulus
How economic stimulus matters for countries
Short Position - Siletrra, AirAsia, ESG

Stories You'll Enjoy