Environment & Energy
Related: About this forumSyngenta seen opening up after source says Monsanto boosts offer (can you say 'anti-trust'?)
Syngenta AG, the Swiss agricultural chemicals maker, was seen opening up more than 7 percent after a source said Monsanto Co. had sweetened its takeover offer, according to premarket indicators in Zurich.
U.S.-based Monsanto increased its offer to buy Syngenta to around $47 billion, or 470 Swiss francs ($503.70) per share from 449 francs per share previously, a person familiar with the matter said on Monday.
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Monsanto is aiming to combine its world-leading seeds business with Syngenta's own seeds and pesticides operations, contending the deal will make both firms more efficient by developing seeds and pesticides in tandem and integrating sales and distribution strategies.
Syngenta has so far argued the deal faces tough regulatory hurdles that Monsanto has not addressed and that the 449 franc offer undervalues the company.
"The biggest concern to Syngenta seems to be that the proposed follow-on disposal of Syngentas seeds business and overlapping herbicides is (tackling) anti-trust issues from a horizontal perspective only," Merrill Lynch wrote in a research note after reports on Monday of the higher offer.
http://www.reuters.com/article/2015/08/25/us-syngenta-ag-monsanto-offer-idUSKCN0QU0J420150825
GreatGazoo
(3,937 posts)They will need to re-do this headline:
Monsanto Bets $45 Billion on a Pesticide-Soaked Future
The company markets both as solutions to farmers' reliance on toxic chemicals. Bt crops "allow farmers to protect their crops while eliminating or significantly decreasing the amount of pesticides sprayed," Monsanto's website declares; and its Roundup Ready products have" allowed farmers to ... decrease the overall use of herbicides."
Both of these claims have withered as Monsanto's products have come to dominate US farm fields. Insects and weeds have evolved to resist them. Farmers have responded by unleashing a gusher of pesticidesboth higher doses of Monsanto's Roundup, and other, more-toxic chemicals as Roundup has lost effectiveness.
http://www.motherjones.com/tom-philpott/2015/05/monsanto-syngenta-merger-45-billion-pesticides