Bayer will bring new jobs and additional investment to Missouri after receiving incentives from the state.
Gov. Mike Parson announced Tuesday that Bayer’s North American crop sciences division will move 500 jobs with an average annual salary of $110,000 to Creve Coeur. The German pharmaceutical and life sciences company will also make an additional $164 million capital investment.
“We are so honored that a global company like Bayer has chosen to grow its presence here in our state,” Parson said. “Bayer is one of Missouri’s top 30 private-sector employers with a strong connection to the state’s agriculture industry.”
The move comes a little more than a year after Bayer closed on its $62.5 million acquisition of Monsanto, the Creve Coeur-based seed and chemical maker. That deal raised concerns about job losses in the St. Louis area, and it was followed by a November announcement that Bayer planned to cut 12,000 jobs worldwide.
The company also continues to contend with a wave of lawsuits alleging Monsanto’s Roundup weedkiller causes cancer.
But at a press conference Tuesday in Jefferson City, the mood was positive as government and company officials hailed the announcement as a win for Missouri.
The 500 positions announced Tuesday will be a combination of new hires and transfers from another location, according to Lisa Safarian, Bayer’s president of commercial operations in North America. Bayer is closing its North American crop sciences headquarters in Raleigh, North Carolina.
The company hired a third party to evaluate a potential location to consolidate its corporate functions in the U.S, according to a memo provided by the Missouri Department of Economic Development.
State economic development officials have been engaged with the project for more than seven months, according to the DED.
The state offered more than $44 million in financial incentive packages to entice the company to the St. Louis area.
Bayer will receive more than $27 million over seven years from Missouri for the 500 new jobs it will bring. The company will receive an additional $10 million for the almost 4,500 jobs it expects to retain in Missouri. It will also be allotted more than $5 million over 15 years from Missouri Build, and it will get a sales tax exemption on the initial investment included in the proposal.
“This monumental investment in our state signifies Bayer’s confidence in Missouri as a solid place to do business, specifically related to ag-tech,” DED Director Rob Dixon said.