S&P revises Bayer to stable

Standard & Poor's said it revised its outlook on Bayer AG to stable from positive.

At the same time, the agency affirmed its A- long-term and A-2 short-term corporate credit ratings on Bayer.

The outlook revision follows Bayer's announcement that it is acquiring the consumer health care division of Merck & Co. Inc. for $14.2 billion.

S&P said the revision reflects that as the acquisition of Merck's consumer health care business is fully debt-financed, it will lead Bayer's debt protection metrics to deteriorate to levels that it does not view as commensurate with a higher rating of A.

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