© Reuters. FILE PHOTO: Logo of Bayer AG is pictured at the annual results news conference of the German drugmaker in Leverkusen

FRANKFURT (Reuters) – One of Bayer’s largest shareholders bashed the company’s management for underestimating the legal risks of its takeover of Monsanto (NYSE:), setting the stage for a confrontational annual general meeting following a 30 percent share price drop.

Bayer (DE:) shares have lost about 30 billion euros ($34 billion), since August, when a U.S. jury found Bayer liable because Monsanto unit did not warn of weedkiller Roundup’s alleged cancer risks. It suffered a similar courtroom defeat last month.

“It’s quite drastic when a takeover triggers such value destruction and reputational damage so quickly. There can be no talk of a successful takeover any more,” Ingo Speich, the head of sustainability and corporate governance at Deka Investment, told Reuters. He will be among the shareholders to speak at the April 26 AGM.

“What’s startling is that things have effectively moved beyond management’s control because we’re now at a point where the decisions over future development are made in court rooms,” he said, adding that Bayer had definitely underestimated the legal risks.

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2019-04-10