It’s a done deal.
Monsanto shares are no longer trading on the New York Stock Exchange, as Bayer completed its US$63 billion acquisition of Monsanto on Thursday.
The actual integration of Monsanto into Bayer — and the coinciding retirement of the Monsanto name — won’t happen immediately, as approval from the U.S. Department of Justice requires Bayer first divest assets to BASF.
The “side” deal with BASF is no small deal. To gain regulatory approval, Bayer proposed divestitures to BASF worth approximately US$8.9 billion (7.6 billion euros)
Bayer says it expects to begin combining the two companies in approximately two months. Until that time, it says Monsanto will continue to operate independently.
Quotes:
“Today is a great day: for our customers — farmers around the world whom we will be able to help secure and improve their harvests even better; for our shareholders, because this transaction has the potential to create significant value; and for consumers and broader society, because we will be even better placed to help the world’s farmers grow more healthy and affordable food in a sustainable manner….We aim to live up to the heightened responsibility that a leadership position in agriculture entails and to deepen our dialogue with society.” — Werner Baumann, chairman of the Bayer Board of Management.
“Today’s closing represents an important milestone toward the vision of creating a leading agricultural company, supporting growers in their efforts to be more productive and sustainable for the benefit of our planet and consumers. I am proud of the path we have paved as Monsanto and look forward to the combined company helping move modern agriculture forward.” — Hugh Grant, outgoing chairman and CEO of Monsanto.
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Monsanto name to become part of history, with acquisition by Bayer set to close on Thursday