Yesterday, Monsanto’s board of directors accepted a $66-billion bid from Bayer to buy the company.
The deal is subject to regulatory approval, and expected to be completed late next year.
With the acquisition, Bayer will be the world’s largest agriculture company, with $23 billion in sales in 2015. The deal is driven by R&D, innovation, and precision agriculture.
“The combined business will benefit from Monsanto’s leadership in seed and traits and Climate Corp. platform along with Bayer’s board crop protection product line across a comprehensive range of indications and crops in all key geographies,” Werner Baumann, CEO of Bayer AG, said in a conference call with the world’s media held on Sept. 14. “As a result, growers will benefit from a broad set of solutions to meet their current and future needs, including enhanced solutions in seeds and traits, digital agriculture, and crop protection.”
Here is what we know:
The combined company’s global biotechnology business, including R&D and commercial activities, will be located in St. Louis, MO, the current headquarters of Monsanto, which will also become the North American commercial hub. The chemical crop protection headquarters will be in Monheim, Germany, the site of Bayer’s headquarters, with an “important presence” in Durham, NC, Bayer’s current commercial hub in North America. The company’s digital farming business, anchored by Climate Corporation, will remain in San Francisco.
For more on the Bayer-Monsanto Merger, read the complete story at AgriBusinessGlobal.com.