Bayer has chosen Covestro as the new name for Bayer MaterialScience, the chemical business it intends to spin off next year.
The new name will go into effect on Sept. 1. In its unveiling of Covestro earlier, the company explained the etymology of the new name: “Co” stands from collaborate, “vest” represents investment, and “stro” indicates strength.
“The new name is part of a brand and identity that is the result of listening to our customers, employees, and others close to our business and which reflects our innovation, talent, and big thinking,” said Bayer MaterialScience Chief Executive Officer Patrick Thomas, who will also lead the new company.
Bayer MaterialScience is one of the world’s largest suppliers of polycarbonate plastics and polyurethane chemicals and materials. It earned about $740 million on $15.5 billion in sales in 2014.
In September 2014, Bayer announced it was spinning off its MaterialScience unit so it can focus on its life sciences businesses, such as its pharmaceutical and CropScience units. The spin-off, Bayer has said, would also benefit the MaterialScience unit by allowing it a way to chart its own strategic and financial course independently.