US glyphosate lawsuits against Bayer more than double since June

German chemical giant Bayer has said that the number of US plaintiffs blaming its Monsanto-produced glyphosate weedkillers for their cancer has more than doubled since June. There are now over 42,700 lawsuits facing Bayer, potentially raising any future settlement.

It is widely anticipated that Bayer will buy itself out of litigation eventually, with the current size of any future settlement estimated at between $8 and $12-billion (€7-€10-billion).

The sharp increase in the number of plaintiffs has been put down to an increase in TV advertising spending on the part of the plaintiffs.

“The number of lawsuits, first and foremost, doesn’t tell us anything about their merits,” Bayer CEO Werner Baumann said. “The number of the lawsuits in no way, shape or form is indicative of the amount of the settlement.”

Bayer says that it is still "constructively engaged" in a process of mediation ordered by a federal judge.

The chemical giant revealed the increase in claims as it also reported a 7.5% rise in third-quarter earnings.

Bayer acquired Monsanto for $63-billion last year. The company's shares were also up 1.9%, one of the leading gainers on Germany's blue-chip index. Nonetheless, since August 2018, the stock has shed around 30% of its value when a California judge ruled that Monsanto should have warned of potential cancer risks associated with its glyphosate-based products such as Roundup.

Analysts said the reduced share price reflects market expectations for the lawsuits to eventually cost as much as $20-billion (€17.9-billion).

Investors had always been warned that there may be a surge in plaintiffs as the prospect of a settlement was boosting efforts by lawyers to recruit plaintiffs.

Bayer has repeatedly ruled out a withdrawal from the US market, pointing to extensive research that has found glyphosate to be safe. The company is said to be waiting for rulings in US appeals courts, expected early next year, to reverse the first three court rulings that have awarded tens of millions of dollars to each plaintiff.

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