Bayer is in talks to acquire German company Conceptus so that it can introduce a permanent contraceptive device to the list of women health offerings the company already provides.

Bayer AG is currently in talks and has agreed to purchase Conceptus in a deal worth approximately $1.1 billion in cash. According to a news report by Bloomberg, the main reason being this acquisition is because Bayer plans to add a permanent contraceptive device to accompany the German company's offerings in women's health.

According to the deal, Conceptus holders will receive a $31 share in cash, the companies said in a statement today. This is a 20 percent raise over Conceptus's closing level of $25.90 on April 26.

"Bayer is committed to augmenting its organic growth with strategic bolt-on acquisitions," said Chief Executive Officer Marijn Dekkers. "The acquisition of Conceptus represents an excellent fit for our health-care business -- specifically in the United States, the world's most important health-care market."

Bayer revealed that it plans to send over the complete deal details to Conceptus within 10 business days, and expects to complete the purchase by mid-year, subject to U.S. antitrust approval, according to the statement.

"Our experience in the field of gynecology combined with our sales and distribution expertise will help to further develop Conceptus' business," said Andreas Fibig, head of Bayer unit HealthCare Pharmaceuticals.

Bayer already markets contraceptives including Yasmin, the Yaz, and Natazia birth-control pills, as well as intrauterine devices such as Mirena.