Bayer and Monsanto announced Wednesday that they’ve signed an agreement to merge the two companies together. Bayer will acquire Monsanto for $128 dollars per share in an all-cash transaction.
Monsanto’s Board of Directors, Bayer’s Board of Management and Bayer’s Supervisory Board have all unanimously approved the merger agreement. The transaction brings together two different, but complementary businesses together under one umbrella. The new company will have Monsanto’s expertise in seeds and traits, as well as its Climate Corporation platform, and Bayer’s broad crop protection product line that covers a wide range of crops.
Bayer intends to finance the deal through a combination of debt and equity. The combined business will have its North American headquarters and Global Seeds and Traits division in St. Louis, Missouri. The global crop protection and crop science divisions will be located in Germany. The company will also have a strong presence in Durham, North Carolina, as well as other locations across the U.S. and the globe. The Digital Farming activities for the combined business will be in San Francisco, California.
(From the National Association of Farm Broadcasters News Service)