Monsanto accepts sweetened $56.5 billion bid from Bayer
US seed and pesticide giant Monsanto has agreed to a sweetened takeover bid from the German pharmaceutical and chemical group Bayer, Bloomberg reported yesterday.
The agency quoted sources close to the deal, and said the negotiations continue, with the final figures in the mega-deal apt to change.
Monsanto’s board of directors met on September 13. Several news outlets including the German newspaper Rheinische Post said Bayer is offering an increased US$129 per share for Monsanto, compared with the $127.50 it proposed last week.
The new offer would value Monsanto at $56.5 billion.
Bayer made a first all-cash offer in May of $122 per share, which Monsanto rejected as “financially inadequate”. The German company’s second offer was $125 per share.
A merger will create a new global leader in genetically modified seeds and pesticides.
The proposed tie-up has rung alarms bells for some farmers who fear the power of the combined company in the market for seeds and pesticides, while opponents of genetically modified food in Europe worry about Monsanto’s influence on the continent. –
The German headquarters of US chemical giant Monsanto in Duesseldorf, western Germany. US seed and pesticide maker Monsanto is in talks with German chemical giant Bayer over a possible merger of their two agrochemicals divisions.