Sheet Metal Workers National Pension Fund v. Bayer Aktiengesellschaft

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA

SHEET METAL WORKERS NATIONAL

PENSION FUND, et al., Case No. 20-cv-04737-RS

Plaintiffs,

ORDER DENYING DEFENDANTS’

v. MOTION TO DISMISS

BAYER AKTIENGESELLSCHAFT, et al., Defendants.

15 This putative class action alleges violations of the Securities Exchange Act of 1934 (the “Exchange Act”) in relation to Bayer’s acquisition of Monsanto. Plaintiffs aver that Defendants made misstatements concerning the acquisition and concerning glyphosate, the active ingredient in Monsanto’s herbicide Roundup. Defendants move to dismiss for failure to plead falsity, scienter, and loss causation. Defendants’ alleged misleading statements fall into three categories: statements about Bayer’s due diligence when acquiring Monsanto, statements concerning the safety of glyphosate, and the accounting for legal risks related to Roundup. Although Plaintiffs have adequately pled falsity and scienter as to Bayer’s due diligence efforts, they…